PHOTO
(UPDATED: Line 1 corrected to reflect that JV is yet to be finalised. In Line 9, Abby Thomas's designation and company name corrected. Line 11 corrected to reflect that Ideanomics will not entirely fund the project. Line 12 replaced to represent accurate transaction and balance sheet values; Photo caption corrected as per Line 9)
New York-based global e-mobility group Ideanomics is planning to set up a joint venture to develop assembling facilities in the UAE with a local partner for wireless charging systems for electric vehicles.
The group, which focuses on sustainability through e-mobility solutions and wireless charging technologies for electric vehicles, is also planning to set up vehicle assembling facilities in the UAE, according to Alf Poor, CEO at Ideanomics, who is in Dubai for a roadshow to identify partners and to finalise the projects.
>Abby Thomas, Director, Admiral Energy; Alf Poor, CEO, Ideanomics; Robin Mackie, President, Ideanomics Mobility.
"Ideanomics is looking to set up local assembling facilities by roping in a local partner for the wireless charging systems for EV vans and other commercial vehicles. Eventually, we are planning to set up integrated vehicle assembling facilities in the UAE," he added.
Poor said Ideanomics is also setting up their the Middle East and Africa headquarters in Dubai, though the company is eyeing to have a presence in NEOM City in Saudi Arabia.
"Dubai is a global hub and much easier place with several free trade zones and 'interesting business' considerations," he said.
Though the CEO has not specified the local collaboration partner, it is understood that Ideanomics has finalised a partnership with an Abu Dhabi-based group engaged in the vehicles and trucks distribution business.
The company is also looking for distribution partners for its other products, such as EV scooters and farm vehicles. There will be different partnerships for commercial vehicles, trucks, and wireless charging systems.
The company has already started talks with a 'lot of partners' for collaboration in the solar energy ecosystem. A number of partnership announcements will be made in the next three months, he said.
Abby Thomas, Director, Admiral Energy said Ideanomics wants to go in for an assembling or semi manufacturing setup in the UAE and work with a battery R&D centre like some universities.
"We already identified the model and the segment that we want to address, and the next important thing is where do we do it and what is the scale. We want to focus on electric vans and then work on other segments such as commercial vehicles," he said.
Thomas added that Ideanomics Capital would be involved in the funding of the UAE projects.
In the past year, Ideanomics has done $1 billion in total transactions and has $250 million on the balance sheet.
The group wants to focus on the EV vans followed by the state of art wireless charging technology tested in the US under similar extreme hot conditions in the Middle East.
The wireless charging system called WAVE delivers fast, safe, high-power charging within seconds of scheduled stops and natural dwell times. Medium- and heavy-duty electric vehicles gain substantial range and operation time without manual plug-in operations or mechanical contact. With power ranging from 125kW to 500kW and higher, WAVE's high-power systems are ideal for powering electric vehicles for mass transit, warehouse and distribution centres, shuttle services, and seaports.
The Middle East and African electric vehicle market is expected to reach $84 million by 2026, up from $35 million in 2020. The UAE currently leads electric vehicle adoption, with its charging station to vehicle ratio among the world's highest. The UAE has around 300 grid-linked slow charging public stations, 80 percent of which are in Dubai, according to a whitepaper from the Clean Energy Business Council (CEBC).
"The future of commercial mobility will be defined by sustainable, electric vehicles. There is significant potential to develop the commercial electric mobility market in the Middle East, where there is a demand to connect evolving cities and a shift from fossil fuel economies," said the CEO.
Poor said: "There is much work to do to enhance the electric vehicle ecosystem and infrastructure in the Middle East. Ideanomics and its partners are well-positioned to bring together vehicles and charging technology and provide the completeness of solutions needed for the region's commercial entities to commit to an EV future."
(Reporting by Bhaskar Raj; Editing by Anoop Menon)
(anoop.menon@lseg.com)
Disclaimer: This article is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Read our full disclaimer policy here.
© ZAWYA 2022