Senmiao Technology Announces Strategic Cooperation with Didi, the Top Online Ride-hailing Platform in China

Rhea-AI Summary

Senmiao Technology Limited (Nasdaq: AIHS) has signed a cooperation agreement with Didi Chuxing, a leader in mobile transportation. This partnership allows Senmiao to receive ride-hailing orders through Didi's platform, beginning in Chengdu, enhancing Senmiao's operational capacity. The collaboration leverages Didi's vast user base of over 550 million to expand Senmiao's reach in the competitive ride-hailing market. The agreement will see Senmiao pay technology service fees for each completed order, continuing their long-standing partnership established in November 2018.

Positive

• Collaboration with Didi enhances Senmiao's order aggregation and operational capacity.
• Access to Didi's extensive user base of over 550 million users bolsters market reach.
• Long-standing partnership with Didi since November 2018 indicates stability.

Negative

• None.

CHENGDU, China, June 10, 2021 /PRNewswire/ -- Senmiao Technology Limited ("Senmiao") (Nasdaq: AIHS), a financing and servicing company focused on the online ride-hailing industry in China and an operator of its own online ride-sharing platform, today announced the signing of a cooperation agreement with Didi Chuxing (Beijing) Online Platform Technology Co., Ltd. ("Didi"), a leading global platform for mobile transportation and local services, boasting over 550 million users and tens of millions of drivers worldwide. Under the terms of the agreement, Senmiao and Didi, its affiliates and partners (collectively, "Didi Open Platforms") will collaborate to aggregate riders on their platforms. Senmiao has had a longstanding partnership with Didi related to automobile transaction and related services since November 2018.

Under this cooperation agreement, Didi Open Platforms will serve as a ride-hailing order aggregator for Senmiao. Senmiao will receive orders from riders utilizing Didi Open Platforms' online ride-hailing applications in certain cities, beginning with Chengdu. Once orders are received by Didi Open Platforms, they will be distributed to registered drivers on Senmiao's platform for viewing and acceptance. Senmiao will pay information technology service fees to a technology company cooperating with Didi for each completed order based on a certain percentage of the value of the order.

Xi Wen, Senmiao's Chairman and Chief Executive Officer stated, "We are thrilled to be collaborating with the online ride-hailing giant Didi. Our focus has been on forging partnerships with major players in the space. Since our initial launch in October 2020, Senmiao's online ride-hailing platform has seen impressive growth as we have expanded into additional cities with plans to launch in other major metropolitan areas where ride-hailing has become increasingly popular as a convenient and affordable mode of transportation. We are pleased to have the support of a major player in the space like Didi and look forward to this expanded partnership."

About Senmiao Technology Limited

Headquartered in Chengdu, Sichuan Province, Senmiao provides automobile transaction and related services including sales of automobiles, facilitation and services for automobile purchase and financing, management, operating lease, guarantee and other automobile transaction services as well as operates its own ride-hailing platform aimed principally at the growing ride-hailing market in Senmiao's areas of operation in China. For more information about Senmiao, please visit: http://www.senmiaotech.com. The Company routinely provides important information on its website.

Cautionary Note Regarding Forward-Looking Statements 

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These forward-looking statements (including those relating to the operation of Senmiao's ride-hailing platform) are subject to significant risks, uncertainties and assumptions, including those detailed from time to time in the Senmiao's filings with the SEC, and represent Senmiao's views only as of the date they are made and should not be relied upon as representing Senmiao's views as of any subsequent date. Senmiao undertakes no obligation to publicly revise any forward-looking statements to reflect changes in events or circumstances. 

For more information, please contact:
At the Company:
Yiye Zhou
Email: edom333@ihongsen.com
Phone: +86 28 6155 4399

Investor Relations:
The Equity Group Inc.                                                                       In China
Adam Prior, Senior Vice President                                                   Lucy Ma, Associate
(212) 836-9606                                                                                 +86 10 5661 7012
aprior@equityny.com                                                                        lma@equityny.com

© 2021 Senmiao Technology Ltd. All rights reserved.

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SOURCE Senmiao Technology Limited

FAQ

What is the cooperation agreement between Senmiao and Didi Chuxing about?

Senmiao's cooperation agreement with Didi Chuxing allows for order aggregation from Didi's platform, enhancing Senmiao's ride-hailing service.

When was the cooperation agreement between Senmiao and Didi signed?

The cooperation agreement was announced on June 10, 2021.

How will Senmiao benefit from the partnership with Didi?

Senmiao will benefit by receiving ride-hailing orders through Didi's application, expanding its operational capacity.

What are the financial implications of the agreement for Senmiao?

Senmiao will incur technology service fees for completed orders based on the order value.

What has been Senmiao's relationship with Didi since 2018?

Senmiao has had a partnership with Didi related to automobile transactions since November 2018.