ABB increases stake in Chinese EV charging provider
ABB has increased its majority stake in Chinese electric vehicle charging provider, Chargedot Shanghai New Energy Technology to 80%. ABB had previously acquired a 67 % stake in Chargedot in March 2020.
The additional investment is part of ABB E-mobility’s growth strategy and aims to further strengthens the company's position in the rapidly growing Chinese e-mobility market. Financial terms of the transaction were not disclosed.
China recorded the highest number of EV sales globally in 2021 for the seventh consecutive year, with more than 3.5 million electric vehicles sold; a 1.6 fold increase on 2020.
“Since ABB’s acquisition in 2020 we have seen strong double-digit growth in the Chargedot business. ABB has helped deliver innovations in safe, smart and sustainable charging hardware and software solutions to the Chinese market, supporting leading companies such as SAIC, Xpeng and GAC Toyota. Looking ahead, Chinese demand for high-power charging solutions and export strategies for Chinese OEM’s are both showing significant growth. With this we see strong opportunities to leverage our global experience to further support our Chinese customers and increase market share,” says Frank Muehlon, President of ABB’s E-mobility division in a press release.
With this latest investment, ABB is one of two shareholders in Chargedot alongside Shanghai SAIC Anyo Charging Technology, a subsidiary of China’s largest vehicle manufacturer SAIC, which retains a 20% stake.