Ampol Expands EV Charging Network with Evie Networks Acquisition

Ampol Limited (ASX:ALD) has made a bold move into the electric vehicle (EV) charging sector by agreeing to acquire Evie Networks, a national operator of fast-charging stations. The deal, pending approval from the Australian Competition and Consumer Commission, is expected to close next year. Ampol aims to significantly expand its AmpCharge platform through this acquisition, gaining access to well-located sites with established grid connections, which are critical for building a robust charging network.

The acquisition comes at a time when Ampol is diversifying its business beyond traditional fuel retail. Evie Networks, founded by Paul Fox and Rodger Whitby, operates a network of public direct-current fast chargers across Australia. Ampol's chief executive, Matt Halliday, highlighted that the deal will enhance the scale, reach, and capability of its charging offerings, securing valuable infrastructure for future EV adoption.

Despite the strategic benefits, Ampol's shares fell on Thursday as investors weighed the costs and long-term returns of the deal. The broader market also experienced a sell-off, exacerbated by the Reserve Bank of Australia's interest rate hike and rising US bond yields. Public fast charging remains an early-stage business in Australia, and profitability will depend on the utilization of charging bays rather than just their installation.

The acquisition aligns with Ampol's broader strategy to adapt to changing transport demands. The company has previously acquired EG Australia, expanding its fuel and convenience retail network. While the EV charging segment is not expected to break even immediately, Ampol sees it as a long-term growth area, positioning itself for a shift towards battery electric vehicles in Australia.