Switzerland: ABB eyes acquisition strategy to amp EV charging business
The company has stated that it’s researching different firms to increase its portfolio or the stakes on other players they already own.
ABB is aiming to deploy an acquisition strategy in order to expand its EV charging business. The company seeks to reach its sales goals after its flotation by spending approximately $750 million on these plans. In total, there are 50 potential targets that have been researched during last year.
"Our strategy is to grow organically and through acquisitions. We need to do both with the pace we have in mind. We have a good geographic coverage, but we still want to do bolt-on acquisitions in the future as well as taking stakes in companies or increasing the stakes we have. There's more to come," said Frank Muehlon, President of E-Mobility Division for ABB, in an interview published by the Reuters news agency.
ABB’s public offering in Switzerland is scheduled initially in the first half of this year. As the media published, the company posted sales of $323 million in 2021 and told investors that it wants to increase its revenues by 40/45%.
The company is aiming for a mid-term growth rate of 25% to 30% per year. The projection would outpace the rest of the players in the market, who have registered an increment of 23% per year over the last five years.
"We are confident, because of the backlog we have. We had $584 million in orders last year and we couldn't convert it all into revenues," stated Muehlon. Its customers include companies such as Ionity, Shell and Transdev, while its main competitors are Tritium, ChargePoint and Alpitronic.
