Partnership expected to contribute to strong sales growth and operational efficiency
WUXI, China, Dec. 16, 2024 (GLOBE NEWSWIRE) -- LOBO EV Technologies Ltd. (Nasdaq: LOBO) ("LOBO” or the "Company”), an innovative e-bicycle, e-moped, e-tricycle, and electric off-highway four-wheeled shuttle designer, developer, manufacturer and seller, signed a strategic manufacturing and distribution agreement with Capital Fortress Assets Ltd. ("Capital Fortress”), a lawn and garden equipment distributor. This agreement marks a pivotal expansion of LOBO's business in the U.S. and Australian markets, two regions with significant growth potential for robotic lawn mowers.
Under the terms of the agreement, Capital Fortress will distribute and assemble LOBO's robotic lawn mowers and other innovative products in the U.S. and Australia. LOBO will supply products and components to Capital Fortress in Complete Knock Down (CKD) form, enabling efficient local assembly and distribution. This strategic collaboration enhances LOBO's ability to penetrate key markets effectively while prioritizing operational efficiency.
"This partnership represents an exciting opportunity to grow LOBO's footprint in two of the most dynamic markets for robotic and electric-powered equipment," said Huajian Xu, CEO of LOBO. "We are confident that by leveraging local manufacturing and distribution expertise, we can enhance our market responsiveness and deliver sustainable, high-quality solutions to our customers."
Key Highlights of the Agreement:
- Exclusive Distribution Rights: Capital Fortress is granted exclusive rights to distribute and sell LOBO's robotic lawn mowers in the U.S. and Australia, excluding direct e-commerce channels.
- Sales Commitments: A minimum sales volume of $1 million or 1,500 units within the first 12 months, supporting the scalability of the venture.
- Manufacturing Innovation: Provisions for supply chain optimization, including supporting efforts to develop locally manufactured components to enhance cost efficiency and meet regulatory requirements.
- Support: Capital Fortress will provide comprehensive after-sales service.
The partnership is expected to drive revenue growth by expanding LOBO's access to two high-potential markets. The expertise of Capital Fortress and its related companies in distribution and manufacturing is anticipated to accelerate product availability and customer adoption.
About LOBO EV Technologies Ltd.
LOBO is an innovative designer, developer, manufacturer and seller of e-bicycles, e-mopeds, e-tricycles, and electric off-highway four-wheeled shuttles such as golf carts and mobility scooters for the elderly and disabled persons. LOBO also provides automobile information and entertainment software development and design services to customers. Leveraging its cutting-edge technologies in connectivity, multimedia interactive systems and artificial intelligence, LOBO re-defines and develops its products in order to provide users with convenient, affordable and pleasant driving experiences. For more information, visit: https://www.loboebike.com and http://www.loboai.com/. Any information displayed on, or that can be accessed through, our website or any other website or any social media is not a part of this press release.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act”) as well as Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, as amended, that are intended to be covered by the safe harbor created by those sections. Forward-looking statements, which are based on certain assumptions and describe the Company's future plans, strategies and expectations, can generally be identified by the use of forward-looking terms such as "believe,” "expect,” "may,” "will,” "should,” "would,” "could,” "seek,” "intend,” "plan,” "goal,” "project,” "estimate,” "anticipate,” "strategy,” "future,” "likely” or other comparable terms, although not all forward-looking statements contain these identifying words. All statements other than statements of historical facts included in this press release regarding the expected closing date of the public offering and the Company's strategies, prospects, financial condition, operations, costs, plans and objectives are forward-looking statements. Important factors that could cause the Company's actual results and financial condition to differ materially from those indicated in the forward-looking statements. Such forward-looking statements are subject to risk and uncertainties, including, but not limited to, those described in "Risk Factors,” "Operating and Financial Review and Prospects,” "Cautionary Note Regarding Forward-Looking Statements” in the Annual Report on Form 20-F filed with the SEC (File No. 333-270499) on April 30, 2024. LOBO undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events except as required by law. You should read this press release with the understanding that our actual future results may be materially different from what we expect.
Contact:
For more information, contact:
Zane Xu
IR Manager
ir@loboai.com