Articles

Shell to buy Greenlots, as EV charging business heats up

Originally Posted by Katie Fehrenbacher | January 30, 2019 | GreenBiz | Original Article

A wave of investment is flowing into building out electric vehicle charging networks, and a bit of that is coming from an unexpected place: oil majors.

On Wednesday, electric vehicle software company Greenlots announced that it will be acquired by oil giant Shell, and specifically by its division Shell New Energies, which focuses on new transportation fuels including electricity, biofuels and hydrogen. The companies didn't reveal terms of the deal but said that Greenlots' technology would "become the foundation for Shell's continued expansion of electric mobility solutions in North America."

The deal isn't Shell's first in EV charging. A year and a half ago, Shell acquired Dutch-based NewMotion, owner of one of Europe's largest charging networks.

Shell's interest in electric vehicle infrastructure highlights the growth of the electric vehicle industry, as more consumers and companies in certain regions (California, China and Norway to name three) are increasing buying electric vehicles. One in 10 vehicles sold in California has a plug, said Bloomberg New Energy Finance analyst Colin Mckerracher, while more than half of new cars sold in Norway are electric.

To meet this coming demand for electricity to power vehicles, companies are quickly building large businesses around developing EV infrastructure. Notable players include ChargePoint, EVgo and Volkswagon subsidiary Electrify America.

Read the full article on GreenBiz.