Following a failed USD$675M New York listing earlier this year, the UK company has announced it is close to securing private finance to back its EU and US expansion plans.

Recent geopolitical and macroeconomic trends have frozen the market for special purpose acquisition company (Spac) backed flotations. The UK-based electric vehicle (EV) charging company, EO, was unsuccessful in achieving a US listing through the Spac, First Reserve Sustainable Growth. Established in 2014, EO will now look to fund expansions into Europe and the USA through raising private funds.

EO’s charging points and services focus on large companies that own fleets of electric vans and trucks, including Amazon, DHL and Tescos. Expanding this model to include electric buses and new geographies across Europe and the USA is likely to result in significant growth opportunities for private investment, which is likely to remain better-priced to public markets until equity markets stabilise and reset.

As a backdrop to the challenges green-tech companies face in raising finance, EV charging companies like EO, also face shifting regulatory conditions brought about in part by peaking energy prices. Despite a robust EV charging infrastructure being an essential part of energy transition to net-zero carbon emissions, pending UK legislation would require that charging at offices and depots is limited to off-peak times to reduce load impact on the grid. Electrification incentives need to be aligned and consistent, or risk limiting the opportunity for infrastructure growth and its financing.