The investments are expected to help Electrify America boost its growth plans through technological advancements in charging and energy solutions across public, home and commercial offerings
Executives from Electrify America, Siemens and VW Group signed the $450 million investment agreement on June 23. (Credit: Electrify America)
Volkswagen and Siemens have announced an investment of $450m in open ultra-fast electric vehicle charging network Electrify America.
The equity investments have given a post-money valuation of $2.45bn for Electrify America.
Siemens will make a low triple-digit million investment into the company, through its financing arm Siemens Financial Services (SFS). With the investment, the German technology and electrification company will become the first external investor in Electrify America.
The investment is part of Siemens’ efforts to boost open and accessible electric vehicle charging infrastructure in the US.
It is also expected to facilitate collaboration between Siemens Smart Infrastructure and Electrify America on the technologies and services for charging solutions.
Siemens Financial Services CEO Veronika Bienert said: “Representing one of Siemens’ largest investments in electrified transportation, this strategic partnership with Electrify America aims to grow a collaborative ecosystem that propels EV adoption across the United States and Canada.
“Our unique ability to combine financial and technology know-how helps to fulfill Siemens’ commitment to decarbonize key industries, accelerate the shift to sustainable mobility, and do so in a way that’s accessible for all.”
Volkswagen Group will increase its investment in Electrify America to advance its eMobility strategy and speed up the growth of its coast-to-coast charging network.
The new investment from the automobile company is in addition to its original commitment of $2bn through 2026.
The investments from Volkswagen and Siemens are expected to help Electrify America boost its growth plans through technological advancements in charging and energy solutions across public, home and commercial offerings.
The company plans to expand its network to 1,800 charging stations and over 10,000 ultra-fast chargers in the US and Canada by 2026.
Electrify America recorded 1.45 million customer electric vehicle (EV) charging sessions in 2021, compared to 268,000 customer EV charging session in the previous year.
As of May this year, the company had 800 EV charging stations and about 3,500 individual chargers open or with construction completed.