What's Happening?
Shell has entered into an agreement to sell a substantial portion of its Volta Media Network to Jolt, an Australia-based company. This move marks Jolt's official entry into the U.S. market, with operations expected to span 34 states and 64 Designated
Marketing Areas, including major cities like Los Angeles, Chicago, and Dallas–Fort Worth. The transaction, advised by Goldman Sachs & Co. LLC, is anticipated to close on January 1. This development follows Shell's decision to shut down its electric vehicle (EV) charging company, Volta Inc., which was integrated into the Shell Recharge Network. The Volta Media Network comprises over 7,200 digital out-of-home screens on Shell Recharge EV charging stations. Jolt's CEO, Doug McNamee, emphasized the synergy between EV charging and digital media, which aligns with Jolt's business model.
Why It's Important?
This acquisition is significant as it represents a strategic expansion of Jolt into the U.S. market, potentially enhancing the accessibility and adoption of electric vehicles (EVs) by integrating charging infrastructure with digital media platforms. For Shell, this divestment aligns with its broader strategy to streamline operations and focus on core business areas. The move could impact the U.S. EV market by increasing competition and innovation in EV charging solutions. Stakeholders such as advertisers, landlords, and EV drivers stand to benefit from the enhanced services and infrastructure that Jolt aims to provide.
What's Next?
The completion of the transaction is expected by January 1, subject to closing conditions. Jolt plans to leverage its expertise to maximize the value of the Volta Media Network for various stakeholders. The market will be watching how Jolt's entry affects the competitive landscape of EV charging and digital media in the U.S. Potential reactions from industry players and regulatory bodies could shape the future of EV infrastructure development.
