Gold bars to be exempt from tariffs, White House clarifies
SHANGHAI - U Power Limited (NASDAQ:UCAR), a technology company with revenue growth of 124% in the last twelve months despite challenging market conditions, has signed a memorandum of understanding with Thailand’s Chia Tai Co. and ICBC (Thai) Leasing Co. to develop and promote a drone platform for Thailand’s farming sector, according to a press release issued Wednesday.
The partnership aims to introduce battery-swapping-compatible agricultural drones for crop spraying, seeding, field assessment, and aerial monitoring across Thailand’s farming operations.
Under the agreement, U Power will provide customized swapping and charging-enabled battery modules for the drones along with technical support and platform operations management. Chia Tai will supply the agricultural drones and maintenance services, while ICBC Thai will offer financial leasing solutions for platform users.
The companies plan to begin with pilot programs in select Thai farms for operational validation, with Chia Tai and U Power also commencing discussions to establish joint ventures supporting the platform’s expansion.
"We see strong potential to contribute to Thailand’s transition toward digitalized and intelligent agriculture," said Johnny Lee, CEO and Chairman of U Power, in the announcement.
The collaboration expands U Power’s offerings beyond electric vehicles to include agricultural drones in Thailand, where the agriculture sector contributes 8-10% of national GDP. According to data cited in the release, Thailand’s agriculture robot market was valued at approximately $207.35 million in 2024 and is projected to reach $1.3 billion by 2032. InvestingPro analysis reveals the company is currently valued at $10.43 million, with significant cash burn rate being a key consideration for investors. Subscribers can access 15 additional ProTips and detailed financial metrics to better evaluate this expansion strategy.
U Power, which began as a distributor of battery-swapping stations built on its UOTTA technology, has evolved into a provider of AI-integrated solutions for energy grids and transportation systems. While the company maintains a healthy current ratio of 1.85 and operates with moderate debt levels, it reported negative EBITDA of -$6.1 million in the last twelve months. According to InvestingPro’s Fair Value analysis, the stock currently appears to be trading below its intrinsic value, suggesting potential upside for investors willing to weather near-term volatility.
In other recent news, U Power Limited has announced several strategic partnerships and agreements aimed at expanding its electric vehicle battery-swapping technology and services. The company has signed a memorandum of understanding with Shandong Hi-Speed New Energy Group Limited and BOCOM International to establish 50 battery-swapping stations in Hong Kong. This collaboration will see Shandong Hi-Speed New Energy investing in construction, while BOCOM International provides financing solutions, and U Power offers technical and operational support. Additionally, U Power has entered a strategic partnership with blockchain platform IoTex to explore tokenization solutions for real-world assets backed by corporate bonds, aiming to enhance its capital structure.
Further expanding its market presence, U Power signed an Electric Service Provider agreement to deploy its battery-swapping stations and promote the sale of compatible electric vehicles in Singapore. This follows a similar agreement in Macau, where U Power is collaborating with a local service provider for station deployment and vehicle sales. In another move, U Power has partnered with Beijing Foton International Trade Co., Ltd. to promote battery-swapping compatible electric commercial vehicles in Southeast Asia, South America, Hong Kong, and Macau. These developments highlight U Power’s efforts to strengthen its position in the electric vehicle market across various regions.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.