EVgo Share Higher After Expanding GM Collaboration

By Michael Dabaie

EVgo Inc. shares were up 13% to $15.18 after the company said it expanded its collaboration with General Motors Co. for electric-vehicle fast chargers across the U.S.

EVgo, owner and operator of a public fast charging network for EVs, and GM had previously said they were tripling the EVgo network, with plans to build 2,750 charging stalls through 2025.

Due to demand for charging infrastructure and new vehicles coming to market in the later years of the program, EVgo and GM said they expanded their build plan to add another 500 high-powered DC fast charging stalls, bringing the total to 3,250 through 2025 and extending the geographic reach from 40 metropolitan markets to 52.

"We believe the expansion of this agreement is very positive for EVGO as it provides the company with favorable economics to continue its EV charging buildout," Evercore ISI said in a note.

EVgo also said Tuesday it expanded its EV charging program for rideshare drivers on Uber's platform. The expanded initiative features new discounts and benefits for drivers using Uber.

Evercore noted that rideshare drivers typically travel more than 200 miles per day and can average 40,000 miles in a year, making fast charging essential for this segment.

Write to Michael Dabaie at [e-mail]

(END) Dow Jones Newswires

November 09, 2021 13:23 ET (18:23 GMT)

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