Ideanomics, a New York-based fintech and electric mobility company, has added another company to its portfolio of acquisitions: commercial electric car maker Via Motors (in an all-stock transaction valued at $450 million).
Ideanomics has been vigorously acquiring mobility firms this year as it looks to expand its vertically integrated products for fleet operators and public transportation authorities as they transition to electric vehicles, according to the company. Ideanomics’ stock price has risen by 6 percent since the market reopened, to $2.43, on the announcement of the Via Motors acquisition.
The company has acquired several companies this year, including US Hybrid, which is a maker of electric powertrain elements and the fuel cell engines; EV tractor maker Solectrac, which manufactures the only American-manufactured electric tractor; Utah-centred wireless charging company Wave; and Timios Holdings Corp., a provider of title and escrow services.
The purchase of Via Motors is perhaps the most significant transaction in Ideanomics’ recent history. Using a modular, skateboard-style architecture across 3 vehicle models, Via designs and manufactures electric trucks and vans for the short- as well as a middle-mile delivery market.
“This acquisition is a watershed moment in the history of Ideanomics,” CEO Alfred Poor stated during a conference call with investors. He also stated that the acquisition gives the company “complete OEM manufacturing capabilities,” which means that it can now manufacture the electric vehicles that it finances and maintains.
There is a possible earnout for Via investors of up to about $180 million under the terms of the agreement, which is conditional on vehicle shipments through 2026. In addition, the stockholders will own around 25 percent of the combined corporation. Additionally, Ideanomics said that it would extend a $50 million funding note to Via to fund the company’s operations.
Ideanomics is currently able to assist with anything from EV acquisition to the establishment of charging infrastructure management. Ideanomics, through its fintech subsidiary, also provides funding and the charging-as-a-service and the vehicle-as-a-service offerings, which the company claims would allow fleet firms to transition from a capital expenditure-driven investment model to an operating expenses-driven investment model.
During a latest second-quarter earnings call, Poor stated, “We believe the transition from CapEx to OpEx is going to have a significant impact on fleet operators, speeding up the acceptance of zero-emission fleets by expelling the obvious obstacle to entry while also requiring them to invest in new goods and infrastructure.”
While the firm did not provide financial estimates for Via, which is situated in Utah, until 2026, Poor stated that these statistics would be contained in Ideanomics’ proxy statement, which will be submitted to authorities in advance of the acquisition’s conclusion.