Kandi Technologies Announces the Closing of $100 Million Registered Direct Offering
Kandi Technologies Group, Inc. (the “Company” or “Kandi”) (NASDAQ
GS: KNDI), today announced that it closed the registered direct
offering of 8,849,560 units (the “Units”) of its securities at a
purchase price per Unit of $11.30 on November 23, 2020, as
previously announced on November 20, 2020. The offering
generated aggregate gross proceeds to the Company of approximately
$100 million, before deducting fees to the placement agent and
other estimated offering expenses payable by the Company.
Each Unit consisted of one share of our common stock, and 0.4
warrants to purchase a share of our common stock. The
warrants have an exercise price of $14.50 per share, a term of 30
months, are exercisable upon issuance. The Company
issued a total of 8,849,560 shares of common stock and warrants for
the purchase of up to 3,539,825 shares of common stock to the
investors in the offering.
The net proceeds from this offering will be used
for general working capital purposes including research and
development for EV sports car models and expenditures necessary to
ensure that our EV models comply with all necessary requirements
for the entry into the U.S. market.
FT Global Capital, Inc. acted as the exclusive
placement agent for the transaction.
Pryor Cashman LLP acted as counsel to the
Company and Schiff Hardin LLP acted as counsel to the placement
agent in connection with the offering. PacGate Law Group
provided due diligence services to the placement agent in
connection with the offering.
This press release does not constitute an offer
to sell or the solicitation of an offer to buy the securities, and
these securities cannot be sold in any state in which this offer,
solicitation, or sale would be unlawful prior to registration or
qualification under the securities laws of any such state. All
offers were made only by means of a prospectus, including a
prospectus supplement pursuant to the Company’s effective shelf
registration statement and base prospectus contained therein. The
shelf registration statement (SEC Filing No. 333-249585) relating
to the offering was filed with and declared effective by the
Securities and Exchange Commission (the “SEC”) on October 29, 2020.
A prospectus supplement related to the offering was filed with the
SEC on November 20, 2020 and is available at www.sec.gov.
For further details of this transaction, please
see the Current Report on Form 8-K filed with the SEC on November
20, 2020 which may be viewed at www.sec.gov.
About Kandi Technologies Group,
Kandi Technologies Group, Inc. (KNDI),
headquartered in Jinhua Economic Development Zone, Zhejiang
Province, is engaged in the research, development, manufacturing,
and sales of various vehicular products. Kandi conducts its primary
business operations through its wholly-owned subsidiary, Zhejiang
Kandi Vehicles Co., Ltd. ("Kandi Vehicles") and its subsidiaries
including Zhejiang Kandi Smart Battery Swap Technology Co., Ltd, SC
Autosports, LLC (d/b/a Kandi America), the wholly-owned subsidiary
of Kandi in the United States and Fengsheng Automobile Technology
Group Co., Ltd (formerly known as Kandi Electric Vehicles Group
Co., Ltd., the “Affiliate Company”). Kandi Vehicles has established
itself as one of China's leading manufacturers of pure electric
vehicle parts and off-road vehicles.
In 2013, Kandi Vehicles and Geely Group, China's
leading automaker, jointly invested in the establishment of the
Affiliate Company in order to develop, manufacture and sell pure
electric vehicle ("EV") products. Geely Group (including its
affiliate) and Kandi Vehicles currently hold 78% and 22% of the
equity interests in the Affiliate Company, respectively. The
Affiliate Company has established itself as one of the driving
forces in the development and the manufacturing of pure EV products
More information about KNDI is available on the
Company's corporate website at http://www.kandivehicle.com. The
Company routinely posts important information on its website.
Safe Harbor Statement
This press release contains certain statements
that may include "forward-looking statements." All statements other
than statements of historical fact included herein are
"forward-looking statements." These forward-looking statements are
often identified by the use of forward-looking terminology such as
"believes,""expects" or similar expressions, involving known and
unknown risks and uncertainties. Although the Company believes that
the expectations reflected in these forward-looking statements are
reasonable, they do involve assumptions, risks and uncertainties,
and these expectations may prove to be incorrect. You should not
place undue reliance on these forward-looking statements, which
speak only as of the date of this press release. The Company's
actual results could differ materially from those anticipated in
these forward-looking statements as a result of a variety of
factors, including the risk factors discussed in the Company's
periodic reports that are filed with the Securities and Exchange
Commission and available on the SEC's website (http://www.sec.gov).
All forward-looking statements attributable to the Company or
persons acting on its behalf are expressly qualified in their
entirety by these risk factors. Other than as required under the
applicable securities laws, the Company does not assume a duty to
update these forward-looking statements.
Follow us on Twitter: @ Kandi_Group
For More Information:
Kandi Technologies Group, Inc.
Ms. Kewa Luo
Phone: +1 (212) 551-3610
The Blueshirt Group
Mr. Gary Dvorchak
Ms. Susie Wang