JINHUA, China, November 10, 2020 -- Kandi Technologies Group, Inc. (the “Company” or “Kandi”) (NASDAQ GS: KNDI), today announced that it has entered into a securities purchase agreement with certaininstitutional investors for a registered direct placement of $60 million of common stock at a price of $6.38 per share. The Company will issue a total of 9,404,392shares of common stock to the institutional investors. As part of the transaction, the Company will also issue to the investors warrants (“Warrants”) for the purchase of up to 3,761,756 shares of common stock at an exercise price of $8.18 per share, which Warrants will have a term of30 months from the date of issuancebutare not exercisable for the first six months.

The net proceeds from this offering will be used for general working corporate purposes. The completion of the placement is expected to occur on or about November 12, 2020, subject to the satisfaction of customary closing conditions. 

FT Global Capital, Inc. acted as the exclusive placement agent for the transaction.

These securities are being offered through a prospectus supplement pursuant to the Company’s effective shelf registration statement and base prospectus contained therein. A shelf registration statement (SEC Filing No. 333-249585) relating to these securities has been filed with and declared effective by the Securities and Exchange Commission (the “SEC”) on October 29, 2020. A prospectus supplement related to the offering will be filed with the SEC. This press release does not constitute an offer to sell or the solicitation of an offer to buy, 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. Any offer will be made only by means of a prospectus, including a prospectus supplement, forming a part of the effective registration statement.

For further details of this transaction, please see the Form 8-K to be filed with the SEC.