Business
U Power Announces Closing of $5.0 Million Registered Direct Offering and Concurrent Private Placement
SHANGHAI, Jan. 27, 2025 /PRNewswire/ -- U Power Limited (Nasdaq: UCAR) (the "Company" or "U Power"), a vehicle sourcing services provider with a vision to
About this update from U Power Limited
[{"type":"text","content":"SHANGHAI, Jan. 27, 2025 /PRNewswire/ -- U Power Limited (Nasdaq: UCAR) (the \"Company\" or \"U Power\"), a vehicle sourcing services provider with a vision to becoming a comprehensive EV battery power solution provider in China, today announced the closing of its previously announced registered direct offering and concurrent private placement with certain institutional investors for the purchase and sale of i) 648,000 Class A ordinary shares (the \"Class A Ordinary Shares\") of the Company, par value $0.00001 per share (the \"Shares\"), ii) Pre-funded Warrants to purchase up to 393,668 Class A Ordinary Shares in the registered direct offering (the \"Pre-funded Warrants\"), and iii) warrants to purchase up to 1,562,502 Class A Ordinary Shares in the concurrent private placement (the \"Common Warrants\") at a combined offering price for each Class A ordinary share and accompanying Common Warrant of $4.80. The Pre-funded Warrants are exercisable immediately and at any time until all of the Pre-funded Warrants are fully exercised, at an exercise price of $0.0001 per Class A Ordinary Share. The Common Warrants are immediately exercisable, have an exercise price of $4.80 per share, and will expire five years from the date of issuance.\n\nThe gross proceeds to the Company were approximately $5.0 million before deducting the placement agent's fees and other offering expenses.\nAdditionally, certain existing Series A warrants to purchase up to an aggregate of approximately 100,000 Class A ordinary shares of the Company that were issued to such institutional investors in December 2023, at an exercise price of $120.00 per share, have been amended to have an exercise price of $4.80 per share.\nMaxim Group LLC acted as the sole placement agent in connection with the offering.\nThe Shares, the Pre-funded Warrants and the Class A Ordinary Shares issuable upon exercise of the Pre-funded Warrants described above were offered pursuant to a shelf registration statement on Form F-3 (File No. 333-282901) that was declared effective by the U.S. Securities and Exchange Commission (the \"SEC\") on November 8, 2024. The Common Warrants and the Class A Ordinary Shares issuable upon exercise of the Common Warrants were offered in a private placement under Section 4(a)(2) of the Securities Act of 1933 (the \"Act\"), as amended, and Regulation D promulgated...