The old line in business is that you don’t want to be a gold miner, as most of them go broke. Instead, you want to be the merchant that sells picks and shovels.
In the world of electric cars, who knows which ones will succeed, but it’s likely that the cars are here to stay, which means a need for electricity and charging stations. Not everyone has a garage where they can set up a fast-charging unit, or even wants to. If electric cars are going to be common, then we’ll need many places to “top off” our electric tanks.
It’s been hard for investors to get a pure-play on charging stations, but that’s about to change. ChargePoint Inc, one of the world’s oldest and largest electric vehicle charging networks, is about to reverse merge with Switchback Energy Acquisition Corp.
The Campbell, California company recently closed a funding round that valued the firm at $1.37 billion, and it has funding from both BMW and Daimler AG.
ChargePoint would be joining alternative fuel truck maker Nikola and solid-state lithium battery maker QuantumScape, which both went public through reverse mergers this year.
There’s no guarantee the deal will go through, but this is shaping up to be the year of battery and electric car companies.