U Power, which is launching automated battery-swapping stations for electric vehicles in China, announced terms for its IPO on Thursday.
The Shanghai, China-based company plans to raise $18 million by offering 2.5 million shares at a price range of $6 to $8. At the midpoint of the proposed range, U Power would command a market value of $368 million. The IPO float is just 4.8% of basic shares outstanding.
U Power, which also operates as Upincar and UNEX, started as a vehicle sourcing service provider in China, and brokers vehicle sales between wholesalers and buyers, which include dealerships and individuals in lower-tier cities. In 2020, it shifted its focus and also began developing its proprietary automated battery-swapping stations, under the UOTTA brand. In 2021, it partnered with auto manufacturers to adapt certain EV models to work with its UOTTA stations. In January 2022, it started operating a battery-swapping station, pursuant to a cooperation agreement with a local gas station operator in Quanzhou City.
U Power was founded in 2013 and booked $2 million in revenue for the 12 months ended June 30, 2022. It plans to list on the Nasdaq under the symbol UCAR. AMTD Global Markets and WestPark Capital are the joint bookrunners on the deal.
