Jiuzi Holdings Inc. (NASDAQ: JZXN; the “Company” or “JZXN”), an emerging new energy vehicle (NEV) dealership group operating under the brand name “Jiuzi” in China, today provided updates on its business operations. Shenzhen Jiuzi XinNeng Holding Group Co., Ltd. (“Jiuzi”) a  subsidiary of the Company entered into a strategic partnership agreement with United Time Technology Co Ltd (“United Time”), an entity controlled via contractual arrangement by UTime Ltd. (NASDAQ: WTO) on September 12, 2023, pursuant to which Jiuzi may procure up to 10,000 smart electric vehicle (EV) chargers and the parties shall cooperate to install them in third and fourth tier cities in China by 2027.  

The strategic partnership agreement serves as a binding framework pursuant to which United Time shall supply and service the EV chargers upon Jiuzi’s request according to the terms of the purchase agreement and Jiuzi shall identify the location for the EV chargers.  The parties agreed to collaborate on the promotion and marketing of the EV chargers. The parties have also agreed on the forms of the purchase agreement although the per unit purchase price (which shall include installation, repair and service fees) will be negotiated at the time of the purchase.  The parties expect to deploy the stations in third and fourth-tier cities, providing convenient, fast, efficient and cost-effective charging solutions for electric vehicle users in such regions. According to the Company’s strategic business plan, it plans to procure up to 1,000 new smart EV chargers from United Time in 2024. Assuming a per unit price of RMB 50,000 ($US6,850), Jiuzi is expected to invest up to US$7 Million (RMB51 Million) to procure and operate all 1,000 EV chargers. Assuming the operating results during such period is satisfactory and the Company is able to secure financing at satisfactory terms, the Company plans to deploy an additional 9,000 smart EV chargers in China’s third and fourth-tier cities through the fourth quarter of 2027 for approximately US$61 Million (RMB450 Million) assuming the average per unit purchase price is RMB50,000. According to the Company’s projections, the annual revenue is estimated to reach approximately $10.9Million (RMB80 Million) if all 1,000 smart EV chargers are installed and fully operational. 

The Company has accumulated substantive experience in the EV chargers area through its operations of the franchise and self-owned EV retail stores in the third-tier cities and is well-positioned to build upon the existing network to identify new regional markets for EV chargers. Thanks to the current experienced management team in the NEV industry, the Company expects to provide end-users with a fast and cost-efficient EV charging experience. The Company plans to focus on the procurement and deployment of smart EV chargers, leveraging its strengths in project management and service delivery to ensure the smooth implementation of  this exciting EV charging business.