Senmiao Technology Announces Third Order Of 200 Electric Vehicles Under Framework Agreement With BYD

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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, announced that it has ordered another 200 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. The first batch of 100 automobiles from this order is expected to be delivered to the Chengdu office of Senmiao during the first week of March 2021.

Senmiao expects to provide finance and leasing options for these EVs to ride-hailing drivers in one of its two principal markets, Chengdu, while exploring the opportunities to expand to new markets in other cities. Since launching its proprietary ride-hailing platform in the fourth quarter of 2020, Senmiao has seen large demand for EVs in financial leasing and operating leasing segments of the online ride-hailing industry in China. Senmiao also expects to implement services and technology in these vehicles in preparation for independent drivers to use them for ride-hailing activities, including advanced telematics and mapping software.

The 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 third order, Senmiao has ordered an aggregate of 1,200 of the 5,000 vehicles expected to be ordered in 2020-2021. Senmiao intends to finance the purchase of these 200 vehicles with cash on hand.

Xi Wen, Senmiao’s Chairman and Chief Executive Officer, stated, “We are pleased to place this third order of 200 EVs from our partner BYD for our growing online ride-hailing business in Chengdu. We anticipate receiving 100 vehicles from BYD in Chengdu next week and look forward to meeting demand in the market from drivers utilizing our financing options. Our mission is to make these vehicles accessible to independent drivers, allowing them to easily transition into ride-hailing drivers as a profession. We have witnessed very positive growth and development of our own online ride-hailing platform in the past three months and reported strong January 2021 operating metrics with more than 910,000 rides completed. We expect this trend to continue within our existing markets as we explore the possibility of entering new cities.”

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