Senmiao Technology Announces Cooperation with Hefei Cheyun to Launch Ride-Hailing Business in Hefei, China

By collaborating with Hefei Cheyun, Senmiao anticipates using the Licenses of Hefei Cheyun to boost the expansion of its online ride-hailing business into many new cities in China while bringing increasing order flow to Hefei Cheyun.

FREMONT, CA: Senmiao Technology Limited, a financing, and servicing company committed to the online ride-hailing industry in China as well as an operator of its own online ride-hailing platform, has declared the signing of a joint operation agreement with Hefei Cheyun Information Technology ("Hefei Cheyun"), an affiliate of Taoyun Capital, which has secured several licenses issued by municipal administrative departments to operate its online ride-hailing business (the "Licenses") in multiple cities across China. This agreement is an add of the previously declared strategic relationship with Taoyun Capital. Hefei Cheyun's parent company operates Yidao, a recognized online ride-hailing platform in China. Senmiao will collaborate with Hefei Cheyun to introduce its ride-hailing business in Hefei, China, in the near future.

By collaborating with Hefei Cheyun, Senmiao anticipates using the Licenses of Hefei Cheyun to boost the expansion of its online ride-hailing business into new cities in China while bringing growing order flow to Hefei Cheyun. For the use of the Licenses in Hefei, Senmiao is expected to pay Hefei Cheyun a monthly fee on the basis of the total order flow with a minimum payment per month.

Having introduced in its strategic core cities of Chengdu and Changsha in late 2020 where it already offers auto financing and leasing services for the ride-hailing market, and in Neijiang in January 2021 and in Guangzhou in March 2021, Senmiao made the strategic decision to introduce in Hefei, the capital and most populous city of Anhui province in eastern China with a population of closely 8 million.

Xi Wen, Senmiao's Chairman and Chief Executive Officer, stated, "We are pleased to have entered into this collaboration with Hefei Cheyun and look forward to accelerating the growth of our businesses together. We believe this industry has a great deal of untapped potential given the success and continued demand in cities where we have already launched. Particularly in more densely populated areas, people are beginning to see that ride-hailing is extremely convenient, accessible and affordable given today's technologies. Senmiao is excited to be a part of this revolution in transportation in China and thrilled to have found a valued and experienced partner like Hefei Cheyun."