According to Volta, a subsidiary of Shell Plc would purchase the user of the electric vehicle (EV) charging network in an all-cash deal worth approximately $169 million.
According to Volta, Shell USA Inc. will purchase all of the outstanding shares of Class A common stock of the company for 86 cents each. The transaction is anticipated to close in the first half of the year.
Shares of Volta, which went public in 2021 after merging with blank-check company Tortoise Acquisition Corp II, increased more than 18% in morning trading to about 86 cents.
Shell and other companies such as France’s EDF and Norway’s Statkraft have been investing in EV charging infrastructure to cash in on the growing demand for EVs.
The announcement follows other investments in the EV charging infrastructure space, including Mercedes-Benz, which is poised to invest billions of euros to build 10,000 fast-charging points in North America, Europe, and China by 2030.
As part of the deal, Shell USA will also provide loans to Volta to help the company through the closing of the deal. Goldman Sachs and Barclays Capital served as advisers to Volta, while Shearman & Sterling LLP served as its legal adviser.
