Reston, Virginia-based Electrify America, building out a nationwide network of ultra-fast electric vehicle charging stations, counts German industrial giant Siemens AG among its big backers.
Electrify America was established by Volkswagen in 2017 as part of a $2 billion legal settlement with U.S. regulators over its diesel emissions-cheating scandal.
Volkswagen has also increased its investment in the company. Siemens is the first outside investor.
The new funding totals $450 million and values Electrify America at $2.45 billion, the company said.
The Siemens investment is a roughly 10% stake in the company, Bloomberg reported, citing people familiar with the matter. Siemens will also hold a seat on the board.
Electrify America will use the new funding to support its goal of more than doubling its charging network to 1,800 charging stations and more than 10,000 ultra-fast chargers in the U.S. and Canada by 2026.
“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,” said Veronica Bienert, CEO of Siemens Financial Services.
“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 to do so in a way that’s accessible for all.”
Electrify America began building its EV charging network in 2018 to address the range anxiety many EV drivers experience when venturing too far from work or home. Charging sites are chosen along major routes and in metro areas, and are placed near shopping, banking and dining amenities. Many of them are in Walmart parking lots.
In the D.C. area, there are Electrify America charging stations in Reston, Tysons, Fairfax, Falls Church, Springfield, Sterling, Chantilly and Alexandria, all in Virginia, and in Bethesda, Maryland.
California is the national leader in promoting the use of electric vehicles, but the D.C. region scores well, according to a recent report by the nonprofit American Council for an Energy Efficient Economy.
