U Power Limited (NASDAQ: UCAR) completed a private placement of 15,670,737 Class A ordinary shares at $1.64 per share, raising $25.7 million in gross proceeds. The transaction, executed under Regulation S, was closed on April 27 2026 after the company entered into subscription agreements with ten purchasers.
Key investors in the placement included CEO Johnny Lee, who committed roughly $3.0 million, Fortune Light Assets Ltd with $2.0 million, and Guofu Hydrogen Energy (Hong Kong) Development Co., Ltd. with $3.6 million. The participation of the CEO and strategic investors signals confidence in U Power’s growth trajectory.
The company will deploy the proceeds primarily to support its hydrogen‑energy joint venture in Thailand and to fund the expansion of its battery‑swapping network across Thailand, Southern Europe, and Hong Kong. The hydrogen venture, a partnership with Guofu Hydrogen Energy and Cloud Digital Chain Limited, aims to deliver AI‑driven energy‑management solutions for intelligent data centers in Thailand, a market projected to reach $6.3 billion by 2031.
U Power’s battery‑swapping program has already produced 30 electric heavy‑duty trucks for Thailand as part of a 1,000‑unit deployment plan, and the Hong Kong taxi battery‑swapping project is slated to begin operations in Q2 2026. The capital raise provides the liquidity cushion needed to accelerate these deployments and to sustain a 3‑4‑month runway at current burn rates.
The placement comes after a series of smaller capital raises, including a $3.19 million private placement on April 7 2026 and a $6.0 million public offering in March. While the company’s financial health remains weak, the infusion of cash is expected to mitigate short‑term liquidity pressures and support the company’s strategic expansion into high‑growth markets.
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