U Power and FTT Holding Plan $50M Joint Venture to Accelerate EV and Energy Infrastructure Expansion in Southern Europe
U Power Limited (NASDAQ: UCAR) has signed a letter of intent with U.S.-based investment firm FTT Holding Company LLC to form a strategic joint venture aimed at accelerating its expansion across Southern Europe, marking a significant step in the company’s international growth strategy.
Under the proposed agreement, FTT Holding plans to commit up to $50 million into the joint venture once established. The capital is expected to support U Power’s rollout of next-generation energy infrastructure in Southern Europe, including smart EV charging networks, battery-swapping systems, and intelligent energy solutions built around the company’s proprietary UOTTA™ battery-swapping technology.
In parallel with the joint venture framework, U Power has also entered into a share subscription agreement with FTT Holding for a private placement of up to $10 million in Class A ordinary shares. The shares are expected to be issued at a significant premium to U Power’s current trading price and will be subject to a 39-month lock-up period. The transaction is anticipated to be finalized in January 2026, pending customary closing conditions.
The joint venture is intended to serve as a platform for scaling U Power’s AI-powered solutions for electric mobility and energy grids, positioning the company to capture growing demand for advanced EV infrastructure and sustainable transportation systems in key European markets.
“This investment from FTT Holding represents a strategic step within our joint venture framework that strengthens our partnership and enhances our combined capabilities,” said Jonny Lee, Chief Executive Officer of U Power. “We expect this capital infusion to support the execution of shared initiatives and enable us to expand our European footprint more effectively, while continuing to explore additional opportunities to create long-term value for shareholders.”
U Power indicated that further details regarding the structure of the joint venture and the investment agreements will be disclosed at a later date as the partnership progresses.
