Kandi Technologies Announces Entry into Agreement for Registered Direct Placement of Approximately $26.3 Million of Common Stock

Kandi Technologies Announces Entry into Agreement for Registered Direct
Placement of Approximately $26.3 Million of Common Stock and Warrants

JINHUA, China, June 26, 2013 (GLOBE NEWSWIRE) -- Kandi Technologies Group,
Inc. (Nasdaq:KNDI) (the 'Company' or 'Kandi'), a leading Electric Vehicle (EV)
company in China, today announced that it has entered into a securities
purchase agreement with two institutional investors for a registered direct
placement of approximately $26.3 million of common stock at a price of $6.03
per share. The Company will issue a total of 4,376,036 shares to the
institutional investors. As part of the transaction, the Company will also
issue to the investors Series A Warrants for the purchase of up to 1,750,415
shares of common stock at an exercise price of $7.24 per share, which warrants
have a term of 30 months from the date of issuance. In addition, the investors
will have a 60-day option to purchase up to 728,936 shares of common stock at
$7.24 per share, starting six months from the closing date on the same terms
as the original investment.

The net proceeds from this offering will be used for general working capital
purposes. The completion of the placement is expected to occur on or about
July 1, 2013, 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 relating to these securities
has been filed with and declared effective by the Securities and Exchange
Commission (the "SEC"). 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 filed with
the SEC.

About Kandi Technologies Group, Inc.

Kandi Technologies Group, Inc. (Nasdaq:KNDI), headquartered in Jinhua,
Zhejiang Province, is engaged in the research and development, manufacturing
and sales of various vehicles. Kandi has established itself as the one of the
world's largest manufacturer of pure electric vehicles (EVs), Go-Kart
vehicles, and tricycle and utility vehicles (UTVs), among others. More
information can be viewed at its corporate website is
http://www.kandivehicle.com.

Safe Harbor Statement

This press release contains certain statements that may include
"forward-looking statements." All statements other than statements of
historical fact included herein are "forward-looking statements." These
forward-looking statements are often identified by the use of forward-looking
terminology such as "believes," "expects" or similar expressions, involving
known and unknown risks and uncertainties. Although the Company believes that
the expectations reflected in these forward-looking statements are reasonable,
they do involve assumptions, risks and uncertainties, and these expectations
may prove to be incorrect. You should not place undue reliance on these
forward-looking statements, which speak only as of the date of this press
release. The Company's actual results could differ materially from those
anticipated in these forward-looking statements as a result of a variety of
factors, including the risk factors discussed in the Company's periodic
reports that are filed with the Securities and Exchange Commission and
available on the SEC's website (http://www.sec.gov). All forward-looking
statements attributable to the Company or persons acting on its behalf are
expressly qualified in their entirety by these risk factors. Other than as
required under the securities laws, the Company does not assume a duty to
update these forward-looking statements.

CONTACT: Kandi Technologies Group, Inc.
        
         China:
         Email: IR@kandigroup.com
         Phone: 86-579-82239856
        
         U.S.A.:
         Email: IR@kandigroup.com
         Phone: 1-212-551-3610
 
Press spacebar to pause and continue. Press esc to stop.