U Power and FTT Holding to Establish a Joint Venture to Accelerate Expansion in Southern Europe

FTT Holding to Commit Up To $50 Million into the Joint Venture

SHANGHAI, Dec. 16, 2025 /PRNewswire/ -- U Power Limited (Nasdaq: UCAR) (the "Company" or "U Power"), a provider of AI-powered solutions for next-generation energy grids and intelligent transportation systems and, building on its proprietary UOTTA^TM electric vehicle (EV) battery-swapping technology, today announced the signing of a Letter of Intent ("LOI") with FTT Holding Company LLC ("FTT Holding"), a US-based technology focused investment firm, for the establishment of a strategic Joint Venture ("JV") aimed at accelerating the Company's expansion in Southern Europe. 

Under the terms of the LOI, FTT Holding plans to invest up to $50 million into the JV, once established. This capital infusion is expected to support U Power's strategic growth initiatives including its business expansion in Southern Europe, establishment of smart EV charging, battery‑swapping and next‑generation energy infrastructures. 

In addition, U Power has entered into a Share Subscription Agreement (the "Agreement") with FTT Holding via the private placement of up to $10 million Class A ordinary shares, which will be issued at a significant premium to the current trading price and with a 39-month lock up period. The Agreement is anticipated to be finalized in January 2026, is subject to customary closing conditions.

Additional information about the JV and Agreement to be disclosed at a later date. 

Jonny Lee, CEO of U Power, commented, "This investment from FTT Holding, a strategic step within our joint venture framework, is designed to strengthen our partnership and enhance our combined capabilities. We anticipate this capital infusion to support the execution of key shared programs and enable us to effectively expand our footprint in Europe. Together, we aim to collaborate on innovation and advance strategic initiatives that align with our shared long-term vision. Looking ahead, the Company plans to evaluate additional opportunities to enhance shareholder value and build long-term returns for investors."

About FTT Holding
FTT Holding is a Miami-based technology investment firm focused on cryptocurrency, non-fungible tokens, and strategic investments. The firm explores partnerships, joint ventures, mergers and acquisitions driven by innovation and expertise. All information herein regarding FTT Holding has been reviewed and approved by FTT Holding.

About U Power Limited
U Power is a provider of comprehensive AI-integrated energy solutions that connect electric vehicles (EVs) with advanced energy infrastructure, optimizing both mobility and grid performance. Originally a distributor of various battery-swapping station models built on its proprietary modular battery-swapping technology UOTTA™, U Power has evolved into a provider of AI-integrated solutions for energy grids and transportation systems.

Through investments in next-generation technologies, U Power is building intelligent ecosystems that integrate resilient AI driven solutions able to transform EVs into dynamic energy assets. By incorporating AI algorithms, U Power's comprehensive solutions for smart energy grids are designed to support autonomous EV driving, optimize energy replenishment efficiency, and seamlessly connect EV assets with advanced AI-powered transportation systems, enabling peak and off-peak energy load balancing.

For more information, please visit the Company's website: https://www.upower-limited.com/.

Safe Harbor Statements
This press release contains "forward-looking statements". Forward-looking statements reflect our current view about future events. These forward-looking statements involve known and unknown risks and uncertainties and are based on the Company's current expectations and projections about future events that the Company believes may affect its financial condition, results of operations, business strategy and financial needs. Investors can identify these forward-looking statements by words or phrases such as "may," "will," "could," "expect," "anticipate," "aim," "estimate," "intend," "plan," "believe," "is/are likely to," "propose," "potential," "continue" or similar expressions. The Company undertakes no obligation to update or revise publicly any forward-looking statements to reflect subsequent occurring events or circumstances, or changes in its expectations, except as may be required by law. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results, and encourages investors to review other factors that may affect its future results in the Company's registration statements and other filings with the U.S. Securities and Exchange Commission. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. References and links (including QR codes) to websites have been provided as a convenience, and the information contained on such websites is not incorporated by reference into this press release.

Contact
U Power Limited
Investor Relations Department
[email protected]

The Equity Group
Lena Cati, Senior Vice President
212-836-9611 / [email protected] 

Alice Zhang, Associate
212-836-9610 / [email protected]  

SOURCE U Power Limited