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Senmiao Reports Expansion Of Its Cooperation Deal With Meituan, No Terms Disclosed

Senmiao Technology Limited ("Senmiao") (NASDAQ:AIHS), a provider of automobile transaction and related services targeting the online ride-hailing industry in China as well as an operator of its own online

· 02/05/2021 09:16

Senmiao Technology Limited ("Senmiao") (NASDAQ:AIHS), a provider of automobile transaction and related services targeting the online ride-hailing industry in China as well as an operator of its own online ride-hailing platform, today announced the signing of a strategic cooperation agreement that expands upon a previously announced partnership with Shanghai Lutuan Technology, an affiliate of Meituan (HK: 3690). Meituan is China's leading e-commerce platform for services, focused on its "Food + Platform" strategy to build a multi-level technology service platform.

Following the initial success of the Senmiao-Meituan cooperation in Chengdu, this new strategic cooperation agreement sets the framework for future collaborations between the parties in other cities in China. As part of its strategy, Senmiao next anticipates building out a total solution for ride-hailing drivers in Guangzhou, which will include financing arrangements, rentals, integration of safety features, as well as the launch and development of Senmiao's proprietary online ride-sharing platform.

If Senmiao's platform is selected by the rider or by the Meituan application, the order will then be distributed to registered drivers on the platform for viewing and acceptance. Senmiao earns commissions for each completed order based on a certain percentage of the value of the order.

Xi Wen, Senmiao's Chairman and Chief Executive Officer, stated, "We are thrilled to have established this framework for expanding our cooperation with Meituan. We believe this is a testament to the positive results and feedback we have received from our initial work with Meituan in Chengdu, and we look forward to bringing the same type of excellent service and convenience to people in Guangzhou and beyond. We believe Meituan's leading platform provides Senmiao with the significant exposure needed to drive our online ride-sharing platform's growth as a mobile ride-hailing service in China. At the same time, we look forward to bringing increased value and accessibility to Meituan users all over China through this cooperation."