Electric-Vehicle Charging Firm Pod Point Plans IPO in London
(Bloomberg) -- Electric-vehicle charging infrastructure provider Pod Point, which is backed by Electricite de France SA, plans an initial public offering in London as ambitious carbon emission targets in Europe drive a push toward cleaner transportation.
Pod Point will sell new shares in the IPO to finance its expansion, while some employees and investment firm Legal & General Group Plc plan to sell existing stock as well, according to a statement Monday. EDF will retain a majority stake, according to the statement.
As part of its strategy to reach net-zero emissions by 2050, the U.K. will ban the sale of combustion engine-cars from 2030. That’s already prompting a jump in electric vehicle sales, which will in turn require more charging points.
“The challenge for Pod Point and other people working in our sector is just that we’ve got to accelerate and accelerate,” Pod Point Chief Executive Officer and founder Erik Fairbairn said in an interview. “We’ve got to build a lot of infrastructure, and obviously the IPO is one of the steps of the process to do that. It’s a big step.”
The company will use the proceeds to further develop its technology and products. It will invest “heavily into more charging points” to meet demand of customers such as large supermarket chains, Fairbairn said. Pod Point both owns and operates, as well as sells and operates charging points.
After the IPO on the London Stock Exchange, at least 25% of Pod Point’s stock will be available for trading and the company will be eligible for the FTSE equity indexes, according to the statement. Pod Point didn’t disclose the planned size of the offering.
Pod Point has installed 89,000 home charge points and more than 13,000 commercial units at workplaces and locations such as shops and leisure attractions. It also has 5,200 public charging bays at places such as parking lots of supermarkets operated by Tesco Plc and Lidl. Users can locate these stations through a mobile phone app.
The European Commission has outlined plans to cut pollution from transport and to have at least 30 million electric vehicles on the region’s roads by 2030, which will require fast expansion of vehicle-charging infrastructure. Germany said in March it has set aside 5.5 billion euros ($6.5 billion) for the sector to help meet ambitious climate goals.
A number of big carmakers across Europe have pledged to ramp up their electric-car manufacturing in recent months, including brands like Porsche and Volkswagen AG. The latter signed a strategic collaboration to develop an ultra-fast electric-vehicle charging network with oil major BP Plc in March.
Barclays Plc and Bank of America Corp. are arranging the offering, with Numis Corp. as joint bookrunner.
French energy utility EDF bought a majority stake in the British company in February 2020, along with Legal & General.
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