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Senmiao Technology Announces Second Order of 500 Electric Vehicles Under Framework Agreement with BYD
Senmiao Sees Demand Increase for Use of Electric Vehicles Since Launch of its Xixingtianxia Ride-Hailing Platform CHENGDU, China, Jan. 21, 2021 /PRNewswire/
About this update from Senmiao Technology Limited
[{"type":"text","content":"Senmiao Sees Demand Increase for Use of Electric Vehicles Since Launch of its Xixingtianxia Ride-Hailing Platform\n\n\nCHENGDU, China, Jan. 21, 2021 /PRNewswire/ -- Senmiao Technology Limited (\"Senmiao\") (NASDAQ: AIHS), a provider of automobile transaction and related services targeting the online ride-hailing industry in China as well as an operator of its own online ride-hailing platform, today announced that it has ordered another 500 electric vehicles (\"EVs\") manufactured by BYD Company Limited (\"BYD\", HK:1211 and SZSE:002594) from an authorized dealer of BYD Auto Sales Co., Ltd., which is a wholly owned subsidiary of BYD. These automobiles are expected to be delivered to Senmiao by March 2021.\nSenmiao initially expects to provide finance and leasing options for these EVs to ride-hailing drivers in one of Senmiao's two principal markets, Changsha, while exploring new potential cities in which to expand. Senmiao has seen an increase in demand for EVs in financial leasing and operating leasing due to the recent launch of its own proprietary ride-hailing platform, Xixingtianxia. Senmiao also expects to implement services and technology in these vehicles in preparation for ride-hailing activities, including advanced telematics and mapping software.\nThe order was made pursuant to the previously announced framework agreement with BYD Auto Sales Co., Ltd. for the purchase of BYD manufactured EVs and joint promotion of the use of EVs in China's ride-hailing market. With this second order, Senmiao has ordered 1,000 of the anticipated 5,000 vehicles in 2020-21. Senmiao intends to finance the purchase of these vehicles through a combination of cash on hand along with financing made available to Senmiao through its collaboration with BYD.\nXi Wen, Senmiao's Chairman and Chief Executive Officer, stated, \"We are pleased to have made our second order of 500 EVs from our partner BYD, given the positive reception of EVs from our initial order in November 2020. We anticipate continued strong demand for our finance and leasing offerings with the development of our online ride-hailing platform in Changsha as the ride-hailing market returns to normalcy following the impact of the pandemic in 2020. Our core markets Chengdu and Changsha are excellent examples of a paradigm shift throughout China in the ride-hailing market, as the onset of...