CHANGZHOU, China, May 20, 2021 /PRNewswire/ -- EZGO Technologies
Ltd. (Nasdaq: EZGO) ("EZGO" or the "Company"), a
leading short-distance transportation solutions provider in
China, today announced that the
Company has agreed to acquire land and factory buildings owned by
Tianjin Jiahao Bicycle Co., Ltd. ("Tianjin Jiahao") for a total
purchase price of approximately US$10.2
million. The transaction is expected to close by
June 15, 2021.
With the completion of this transaction, Jiangsu Baozhe Electric
Technology, the domestic operation company of EZGO, will have more
than 35,000 square meters of factory land, including two factory
buildings and an administration building, and a construction area
of approximately 11,000 square meters. EZGO will also have the
flexibility to construct an additional 40,000 square meters of
production factory buildings on this land, located in the
Beijing-Tianjin Science and Technology Valley in the Wuqing
District of Tianjin, which is a
part of China's Bicycle Kingdom
Industrial Zone. Home to several reputable technology enterprises,
this model industrial park in Tianjin is one of the most important centers
of the parts supply chain for China's e-bicycle industry. The Tianjin Jiahao
property is conveniently and strategically located less than ½ km
away from the Beijing-Tianjin Expressway entrance.
The estimated production capacity of the existing factory
buildings purchased in this transaction is 100,000 units of
two-wheeled e-bicycles. The estimated production capacity of the
factory building expected to be built on the remaining land being
purchased is anticipated to be approximately 500,000 units of
two-wheeled e-bicycles. EZGO's current production capacity at its
previously leased factory in Nancai Town of Tianjin was nearly
300,000 e-bicycles, with actual capacity of 150,000 e-bicycles due
to limited turnover space. This purchase will enable EZGO to
significantly ramp production of its e-bicycles following the
Company's successful application for the national first-class
electric motorcycle qualification.
Management Commentary
Mr. Jianhui Ye, Chief Executive
Officer of EZGO, stated, "We are pleased to have come to an
agreement with Tianjin Jiahao for the purchase of this land and
property, which serves as an important step forward in the ramping
of our e-bicycle production operation. With the closing of this
transaction, EZGO will own its own manufacturing facilities,
establishing greater reliability in the production process and
increasing the Company's visibility and brand. This is a milestone
event for EZGO, and we look forward to bringing more of our
e-bicycle products to the market in the near future."
About EZGO Technologies Ltd.
Leveraging an Internet of Things (IoT) product and service
platform and two E-bicycle brands, "Cenbird" and "Dilang," EZGO has
established a business model centered on the manufacturing and sale
of E-bicycles and E-bicycle rentals, complemented by the
E-bicycle charging pile business. 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
http://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 SEC. 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.
View original
content:http://www.prnewswire.com/news-releases/ezgo-announces-purchase-of-land-and-industrial-property-to-support-rapid-expansion-of-its-e-bicycle-production-operations-301296119.html
SOURCE EZGO Technologies Ltd.