Swiss/Swedish technology group ABB has raised CHF 200 million (± €204 million) for its E-mobility division. Shares to raise said capital are being issued as part of a pre-IPO private placement. The transaction is expected to close before the end of 2022, and the capital will be used to implement the growth strategy.
The private placement includes participation from the long-term equity strategy fund of Interogo Holding, a foundation-owned international investment group based in Switzerland. Moyreal Holding AG, a Swiss single-family office with a long-standing history in the automotive industry, is also participating in the private placement. ABB E-mobility Chairman Michael Halbherr is the third investor.
Interogo Holding and Moyreal believe that ABB E-mobility will play an important role in transforming into a more sustainable society. ABB itself remains a committed partner to ABB E-mobility with a shareholding of approximately 92%, “providing continued access to funding and supporting its future growth journey”.
IPO or not?
ABB has plans to take its E-mobility division with its charging station business public “subject to constructive market conditions”. The company had initially planned the IPO for the second quarter of 2022 but postponed it indefinitely in June of this year.
“We remain committed to our strategy to list our E-mobility business subject to constructive market conditions separately,” ABB CEO Björn Rosengren said. “Meanwhile, having Interogo Holding, Moyreal, and Michael Halbherr as new co-shareholders in ABB E-mobility is a recognition of the company’s leading customer offering and market position.”
“The private placement underpins our joint commitment to ensure ABB E-mobility’s fast growth to remain best positioned to lead the sector in EV charging solutions,” he added.
In the press release, ABB also announced that ABB E-mobility’s board of directors is now fully constituted. In addition to Michael Halbherr as chairman, ABB itself sends three representatives to the board: Morten Wierod (president of the electrification business unit), Carolina Granat (chief human resources officer), and Andreas Wenzel (head of strategy and M&A).
There are also three independent members: the German economist Annette Köhler, the Dutch investor Peter Molengraaf, and the Swedish ex-Volvo CEO Håkan Samuelsson.
ABB E-mobility is a market leader in building emission-free EV charging solutions. Since the beginning of the year, the company has significantly scaled up its business through several acquisitions and investments, including In-Charge, Chargelab, and Numocity, the opening of a production facility in Italy, and the expansion of its US footprint.