ABB invests in Chinese company Chargedot

The Swiss technology group ABB has acquired a majority stake in Chargedot. The Chinese company supplies charging station software to EV manufacturers, charging network operators and real estate developers, among others.

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The transaction will see ABB acquire 67 per cent of shares for an unspecified amount and is expected to be completed in the coming months with the option of increasing its stake over the next three years.

Shanghai-based Chargedot was founded in 2009 and now employs approximately 185 people. Other shareholders include the SAIC subsidiary Shanghai SAIC Anyo Charging Technology Co., Ltd.

The investment underscores ABB’s commitment to sustainable mobility for Tarak Mehta, head of ABB’s Electrification division. “China is far ahead in developing a comprehensive ecosystem for electric mobility,” says Mehta. “The acquisition of Chargedot offers ABB the opportunity to contribute to growth in close cooperation with SAIC and other leading Chinese vehicle manufacturers.”

ABB speaks of “promising” prospects for the global electromobility infrastructure market in their press release, which has proven to be a rapidly growing market across the globe. However, Chargedot is likely to remain focussed on China and the Asia-Pacific region for the time being, where the most substantial growth is forecast.

“This investment is a further demonstration of ABB’s commitment to enabling sustainable mobility,” said Tarak Mehta, President of ABB’s electrification business. “With China forging ahead in the development of a comprehensive e-mobility ecosystem, this acquisition will give ABB a significant role in delivering growth, working closely with SAIC and other leading Chinese car manufacturers.”

ABB has sold more than 11,000 fast-charging stations in 76 countries worldwide. In China, ABB cooperates with BYD and Daimler, among others, and supplies AC wall charging stations for Denza customers. The company also provides DC fast-charging solutions for Nio and operators such as BP/ifuel 66.

Update 17 March 2020

In the meantime, ABB has completed the acquisition of a majority stake in Chargedot, announced in October. In addition, the Swiss-Swedish group made another announcement. “The acquisition is expected to strengthen further ABB’s relationship with leading Chinese electric vehicle manufacturers and broaden the company’s e-mobility portfolio with hardware and software developed specifically for local requirements as well as service offerings,” ABB said.

Update 31 January 2022

ABB is increasing its majority stake in Chargedot. After the Swiss-Swedish technology group had acquired 67 per cent of the Chinese charging specialist in 2020, ABB now increased its stake to 80 per cent. The group did not disclose how much the extra 13% have cost them but said the investment was part of the “E-mobility’s growth strategy” and further strengthened ABB’s position in the “rapidly growing Chinese e-mobility market”.

Frank Muehlon, president of the eMobility division, was more specific. “Since ABB’s acquisition in 2020, we have seen strong double-digit growth in the Chargedot business,” Muehlon said. “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.”

ABB, in today’s news, also listed SAIC, Xpeng and GAC Toyota as clients in China. SAIC is itself the second of two shareholders alongside ABB in Chargedot. SAIC’s subsidiary Shanghai SAIC Anyo Charging Technology retains the remaining 20 per cent stake.

new.abb.com, abb.com (Update, March ’20), abb.com (Update, January ’22)