Volta Inc. mentioned on Wednesday {that a} Shell Plc subsidiary would take over the electrical car charging community operator in an all-cash deal valued at about $169 million.

Shell USA Inc will purchase all excellent shares of Class A standard inventory of Volta for 86 cents apiece in money in a deal that’s anticipated to shut within the first half of the 12 months, Volta mentioned.

Shell and different firms resembling France’s EDF and Norway’s Statkraft have been investing in EV charging infrastructure to money in on the rising demand for electrical autos.

The announcement follows different investments within the EV charging infrastructure area, together with Mercedes-Benz, which is poised to speculate billions of {dollars} to construct 10,000 fast-charging factors in North America, Europe and China by 2030.

As a part of the deal, Shell USA may even present loans to Volta to assist the corporate via the closing of the deal.

The acquisition of Volta — which installs chargers with giant video promoting screens at grocery shops, workplace buildings and elsewhere — is emblematic of an accelerating shift in focus for a corporation that has relied on an enormous community of conventional filling stations to achieve prospects.

Robust 12 months

Volta, which went public in 2021 via a merger with a particular goal acquisition firm, has struggled previously 12 months, with its two prime executives abruptly exiting final March. The agency issued a going-concern warning in Might as money reserves dwindled and fired greater than half its workforce to stabilize its funds.

Volta is certainly one of a number of clean-technology startups together with Eos Vitality Enerterprises Inc., EVgo and Daylight Monetary Holdings Inc. that went public through SPAC offers lately, solely to see their shares tumble as traders soured on their merchandise or enterprise fashions.

The acquisition is a part of Shell’s efforts to arrange for a world wherein oil consumption ebbs as extra industries electrify and other people ditch combustion-engine vehicles. Volta has arrange greater than 3,000 charging factors with companions together with grocery store Kroger Co., the Oracle Enviornment in San Francisco and Six Flags Theme Parks Inc.

“Each Volta and Shell have a demonstrated capacity to fulfill the altering wants of shoppers, and this acquisition will carry that have collectively to offer the choices which are wanted as extra drivers select electrical,” Vince Cubbage, Volta’s interim CEO, mentioned in an announcement.

Reuters and Bloomberg contributed to this report.