EZGO Enters into a Strategic Cooperation Framework Agreement with Woteam to Jointly Explore the Southeast Asian Market

Rhea-AI Summary

EZGO Technologies (Nasdaq: EZGO) has entered into a strategic cooperation framework agreement with Woteam New Energy (Guangdong) Co., to jointly explore the Southeast Asian market. The five-year agreement aims to develop automotive and electric products for the region, leveraging EZGO's expertise in electric bicycles and Woteam's advanced battery technology. The collaboration includes establishing production plants for electric vehicles and lithium batteries across Southeast Asia, with a focus on expanding market reach and achieving significant sales targets.

Positive

• EZGO and Woteam aim to jointly develop automotive and electric products for the Southeast Asian market.
• The collaboration includes establishing production plants for electric vehicles and lithium batteries across Southeast Asia.
• The agreement targets annual sales of 500,000 electric two-wheeled vehicles, 300,000 power lithium battery sets, and 100,000 sets of home and outdoor energy storage lithium batteries for an aggregate revenue of $500 million.
• Woteam has a strong presence in the lithium battery industry, with plans to expand its coverage in Southeast Asian countries.
• EZGO's Chairman and CEO, Mr. Jianhui Ye, highlights the strategic significance of the agreement in expanding sales channels and entering global markets.

Negative

• None.

CHANGZHOU, China, April 17, 2024 /PRNewswire/ -- EZGO Technologies Ltd. (Nasdaq: EZGO) ("EZGO" or "we," "our," or the "Company"), a leading short-distance transportation solutions provider in China, today announced that it entered into a five-year strategic cooperation framework agreement (the "Agreement") with Woteam New Energy (Guangdong) Co., Ltd. ("Woteam"), a high-tech enterprise engaged in the research, development, production and sales of electric bicycle batteries, electric tool batteries, robot batteries, photovoltaic energy storage batteries and other products. EZGO and Woteam aim to jointly develop a series of automotives and electric products to meet local needs in the Southeast Asian market, and to enhance the strategic positioning of the intelligent industries for both parties.

Pursuant to the Agreement, EZGO and Woteam agree to integrate their respective strengths to accelerate the product development and develop sales and distribution network. Both parties are also expected to establish production plants for electric vehicles and lithium batteries across Southeast Asia to broaden market reach. EZGO will leverage its expertise in the electric bicycle sector, while Woteam will contribute its advanced battery technology and regional distribution channels. Pursuant to the Agreement, based on EZGO's needs and at its request, Woteam will co-develop and manufacture power and storage batteries. The Agreement, set to last five years, and the collaboration will be adapted to the specific business engagement models of each party.

Mr. Jianhui Ye, Chairman and Chief Executive Officer of EZGO, commented, "The signing of the Agreement marks a strategic initiative of EZGO and lays a solid foundation for expanding its existing sales channels. EZGO will join hands with Woteam to establish a production, R&D, and sales network that not only serves Southeast Asia but also set to extend to Europe and America in the future. This collaboration aims to achieve annual sales of 500,000 electric two-wheeled vehicles, 300,000 power lithium batteries sets, and 100,000 sets of home and outdoor energy storage lithium batteries for an aggregate revenues of $500 million. This cooperation is expected to make significant inroads for EZGO into the global market. Looking forward, we are committed to upholding high standards of quality and efficiency to ensure the success of collaboration, to expand our footprints to more regions and to enhance long-term value to shareholders."

Focusing on the lithium battery for more than ten years, Woteam has become an exceptional battery OEM factory. In 2022, Woteam established a production and sales service center in Myanmar, and plans to gradually cover Thailand, Vietnam, Indonesia and other Southeast Asian countries.

About EZGO Technologies Ltd.

Leveraging an Internet of Things (IoT) product and service platform and two e-bicycle brands, "EZGO" and "Cenbird," EZGO has established a business model centered on the design, manufacturing and sale of two-and three-wheeled electric vehicles, intelligent robots, complemented by electric vehicle accessories including batteries, charging piles and electronic control system. For additional information, please visit EZGO's website at www.ezgotech.com.cn. Investors can visit the "Investor Relations" section of EZGO's website at www.ezgotech.com.cn/Investor.

Safe Harbor Statement

This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate," or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's goals and strategies; the Company's future business development; product and service demand and acceptance; changes in technology; economic conditions; the growth of the short-distance transportation solutions market in China and the other international markets the Company plans to serve; reputation and brand; the impact of competition and pricing; government regulations; fluctuations in general economic and business conditions in China and the international markets the Company plans to serve and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the Securities and Exchange Commission (the "SEC"), including the Company's most recently filed Annual Report on Form 20-F and its subsequent filings. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the SEC, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.

For more information, please contact:

Ascent Investor Relations LLC

Tina Xiao

Email: investors@ascent-ir.com 

Phone: +1 646-932-7242

 

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SOURCE EZGO Technologies Ltd.

FAQ

What is the nature of the agreement between EZGO and Woteam?

EZGO and Woteam have entered into a five-year strategic cooperation framework agreement to jointly explore the Southeast Asian market.

What are the key objectives of the collaboration between EZGO and Woteam?

The collaboration aims to develop automotive and electric products for the Southeast Asian market, establish production plants for electric vehicles and lithium batteries, and achieve significant sales targets.

What are the expected annual sales targets set by EZGO and Woteam?

The agreement targets annual sales of 500,000 electric two-wheeled vehicles, 300,000 power lithium battery sets, and 100,000 sets of home and outdoor energy storage lithium batteries for an aggregate revenue of $500 million.

What is Woteam's expertise in the industry?

Woteam has focused on lithium battery production for over ten years and has established a strong presence in the industry, including plans to expand coverage in Southeast Asian countries.

Who commented on the signing of the agreement and what was highlighted?

Mr. Jianhui Ye, Chairman and CEO of EZGO, commented on the agreement, emphasizing its strategic importance in expanding sales channels and entering global markets.