Electric Vehicle Charging Provider Explores Sale Amid Tax Fears

Introduction to Trojan Energy

An electric vehicle charging provider backed by the UK’s biggest major banks is exploring a sale amid fears the Treasury’s recent tax raid could impact the sector. Trojan Energy, part-owned by BGF, is working with advisers to review its strategic options, including a sale to new investors.

Background and Funding

Trojan Energy was founded in 2016 and raised £26m two years ago from investors including BGF and the Scottish National Investment Bank. BGF was founded by the UK’s largest retail lenders after the 2008 financial crisis and was tasked with investing billions of pounds in small and medium-sized UK businesses.

Services and Expansion

Trojan Energy provides on- and curbside electric vehicle charging stations and now has a network of more than 1,500 connections. It has also been contracted to install hundreds of other devices. Information shared with potential buyers indicates that the company is suitable for rapid expansion in the UK and internationally.

Concerns Over Future Demand

However, doubts about future demand for electric cars are growing after the Chancellor decided to impose a 3p per mile tax on electric cars from 2028. Reports also suggest that the Treasury Department is looking into imposing a sales tax on the use of chargers not located on motorists’ driveways.

Sale Process

City sources said offers for the company, which is being marketed by Interpath Advisory, are due this week. Interpath declined to comment on the matter. The potential sale of Trojan Energy highlights the uncertainty facing the electric vehicle charging sector amid changing government policies.