Overview
Hyundai Motor Group has announced it will spend $18.2bn to increase its production of EVs. This company has also set itself the target to become one of the world’s top 3 EV makers. Kia (part of the Group) has stated it will build a new plant to manufacture EVs in Hwaseong City, in Seoul. Hyundai plans to increase its annual output of EVs in Korea to 1.51m units by end of this decade, or about 40% of the estimated global EV production of 3.64m. The company aims to achieve these goals by increasing its facility capabilities which will help increase the choices of models available to consumers, as by 2030 it aims to offer 31 EV models across its suite of brands.
PT Trimegah Bangun Persada (also known as Harita Nickel), is an Indonesian metal and mining firm, which IPO-ed for $672m, thus making it the largest Indonesian IPO this year so far. Harita Nickel is the first company in Southeast Asia’s largest economy to process low-grade nickel ore into battery-grade metal, using a method known as high-pressure acid leaching (HPAL). The Indonesian government has created policy tailwinds, with plans to build an end-to-end EV supply chain onshore. This IPO illustrates the growing investor appetite for the country’s EV sector. There are not a lot of listed companies that fall within the EV supply chain, on Jakarta’s stock exchange but the domestic and foreign investor appetite is there.
The EPA are in the process of finalising strict standards that will focus on pollution from vehicle tailpipes. Which will encompass air pollution that is directly damaging to human health, as well as the greenhouse gases that are fuelling climate change. The EPA has projected these new standards will result in 67% of new vehicles sold in 2032 may have to be EVs, for OEMs to be compliant. This may yet again be a progressive (EV-related) policy by the Biden administration.
BMW and its portfolio of brands, such as Mini and Rolls-Royce, fulfilled 588,138 orders in Q1 2023. 64,646 of these vehicles were EVs, which represents an 83% increase compared to Q1 2022. BMW has stated that the new i7 and 7 Series, plus the updated X7 and BMW XM will be among the main growth drivers in 2023.
Ford has announced it will inject $1.3bn into its Oakville Assembly Plant, in Canada, to repurpose the facility into a new EV hub. This project is pencilled in to start in Q2 2024 and will require 6 months, once completed this plant will be renamed the Oakville Electric Vehicle Complex. This project is part of Ford’s goal to have a production capacity for 2 million EVs globally by the end of 2026. This is another well-choreographed RNS by Ford, underlying their commitment to transitioning to EV.
Jaguar Land Rover has announced it has set up a new course, with Coventry University, to help upskill their engineers for the EV transition. This course will focus on EV-specific training courses in specifying components, verification and validation and integrating high-voltage parts into complete EVs. There are around 1200 engineers enrolled on this course currently. Jaguar has stated due to the initial success, it is considering offering a degree-level qualification, as well as a new course concerning hydrogen powertrains. This is a big step in the right direction, as we believe that upskilling employees will only help accelerate the shift to EVs.
Northern train services have partnered with Voi, a Swedish e-bike or e-scooter rental company. If commuters, who use Northern, travel to the station using Voi, they will be given a 25% discount on their ticket. This is being rolled out from Liverpool Lime Street.
Deals
X Shore, a Swedish startup, has announced it has raised €26.5m, which was led by Swedish Bank SEB. The company creates electric-powered boats and will use this capital to scale its in-houseboat production and accelerate its growth in the US.
Nikola has announced it will raise $100m via a secondary stock offering to the public. Interestingly, If the public stock offering raises less than $100m then a(n) (unnamed) private investor has agreed to buy enough stock to make up the difference. This raise will be used for working capital and other general purposes.
Applied EV has secured their latest investment round, on a $190m valuation, with participation from Suzuki Global Ventures and Club Investible. The company develops safety-rated, autonomous-ready, digital control systems and modular vehicle platforms for commercial applications.