Shell to acquire Volta

Shell USA, a subsidiary of Shell plc, plans to acquire EV charging network operator Volta Charging in an all-cash transaction valued at approximately $169 million.

Under the terms of the merger agreement, Shell USA will acquire all outstanding shares of Class A common stock of Volta at $0.86 per share in cash upon completion of the merger, which represents an approximate 18% premium to the closing price of Volta stock on January 17, 2023, the last full trading day prior to the announcement of the transaction. At close, Shell will also repay Volta’s third party debt, estimated at $14 million.

In 2021, Volta went public via a SPAC merger at a ~$1.4 billion valuation.

Volta’s assets include an existing public EV charging network of over 3,000 charge points at destination sites (shopping centers, grocery stores, pharmacies, etc.) across 31 states and territories, a development pipeline of 3,400+ additional charge points, and capabilities to continue developing, operating, and monetizing EV charging infrastructure. Beyond providing a charging service, Volta generates advertising revenue from screens embedded into the charge point.

“The shift to e-mobility is unstoppable, and Shell recognizes Volta’s industry-leading dual charging and media model delivers a public charging offering that is affordable, reliable, and accessible. While the EV infrastructure market opportunity is potentially enormous, Volta’s ability to capture it independently, in challenging market conditions and with ongoing capital constraints, was limited. This transaction creates value for our shareholders and provides our exceptional employees and other stakeholders a clear path forward.” – Vince Cubbage, interim CEO, Volta.