Volkswagen is selling a stake in Electrify America, Reuters has reported, citing two people familiar with the matter. The article noted that Volkswagen is looking for outside funds to build more infrastructure for battery-powered vehicles. It’s currently working with Citi to find a co-investor to invest around $1 billion into the division. The sources added that Volkswagen will soon reach out to infrastructure groups and other potential investors.
Volkswagen launched Electrify America as a part of its settlement with the US government after the scandalous emissions cheating incident was uncovered. The settlement required the automaker to invest $2 billion in ZEV charging infrastructure along with the promotion of ZEVs (zero-emission vehicles) in the US.
Electrify America will spend this $2 billion during the 2017–2026 period to expand its charging stations for EVs across the country. It has 635 charging stations with around 2,850 fast-charging spots. These include ultra-high-speed chargers with up to 350 kilowatts of power capacity. Owners can charge their cars in as little as 20 minutes.
Volkswagen has plans to expand further and will be presenting a new strategy on July 13 while aiming to consolidate its various charging efforts under the Charging & Energy business led by Elke Temme.