What does the company do?
EVC is focused on deploying electric vehicle charging infrastructure at long stay and destination car parks. The chargers are either purchased by the client and managed by EVC or, owned or funded by EVC in exchange for a long lease on the charge point locations at the client’s site. The latter provides businesses with a way of deploying charge points at their sites at no cost thus remove a significant barrier to installation. EVC’s business model is based around mainly deploying fast chargers at residential blocks, hospitality sites and workplaces. All these types of property are identified to be where motorists have long dwell times and EVC intends to scale up the number of chargers at a site over time as the number of electric vehicles increases, meeting current and future demand at a reasonable charging speed. It aims to bring an efficient, simplistic, and reliable charging experience to its clients and motorists.
EVC manage the process from development, instalment and long term maintenance to help rapidly scale public access to EV charging infrastructure. The company has working partnerships with high profile names in hospitality — including hotel chains, pub chains, roadside services, commercial retail park portfolios, leisure / sports facilities — and residential developments. These are locations where drivers typically park their cars for 3-8 hours at a time, making them good candidates for the 22kW EV chargers it typically installs.
EVC’s main source of revenue is from the sale of electricity to customers charging their vehicles. The company also generates revenue by charging connection fees to drivers for connecting, providing grid services to Distribution Network Operators and fees for the third party management of chargers owned by others.
Why did the company raise money?
EVC SPV 1, part of the EVC group, raised money through this investment to fund the installation of around 120 EV chargers across a range of sites, as well as provide some working capital for operations.
How does the company expect to repay the investment?
EVC expects to pay the interest owed to investors over the life of the investment through the revenues generated from the use of its electric vehicle chargers and expects to repay the capital by raising additional debt or equity funding or through the sale of the chargers.
How is the company making an impact?
EVC is helping to expand the UK’s electric vehicle charging network which is critical to the adoption of more electric vehicles and cutting carbon emissions from the transport sector.
Key terms
For the first interest period to March 2023, which is a longer 10 month period, no interest is paid out and the interest is instead rolled up and due to be paid at the maturity date. In the next 12 months, covering interest payments in September 2023 and March 2024, half of the interest is paid out with the other half rolling up to be paid at maturity (this is to give time for the chargers to be installed and start generating revenue). From the third year, 100% of the interest will be paid out in each 6 month period.
The unpaid rolled up interest will continue to earn interest at the same rate until it is paid at the maturity date.
This investment has first ranking security over all of the assets of EVC SPV 1 Plc under a package of security documents including:
- a security agreement by way of fixed and floating charge over all of the assets of EVC SPV 1 Plc
- share security granted by the parent company over all the issued share capital of EVC SPV 1 Plc
- a security assignment of the warranties provided by CTEK for chargers supplied by them; and
- a legal mortgage over the leases from EVC Asset Holdings Ltd
The company can make an early repayment any time after the 31 March 2025, subject to paying any unpaid interest up to the date of repayment plus an early redemption fee equal to 6 months's interest.
See the Debenture Deed for details of all circumstances in which the option for early repayment may be exercised.Documents
Payment schedule
This table gives a breakdown of what is due to be paid back on this investment, based on an example investment of £1,000.
| Payment date | Capital repayment | Interest | Total |
|---|---|---|---|
| 2 October 2023 | £0.00 | £20.05 | £20.05 |
| 2 April 2024 | £0.00 | £20.05 | £20.05 |
| 30 September 2024 | £0.00 | £40.10 | £40.10 |
| 31 March 2025 | £0.00 | £39.89 | £39.89 |
| 30 September 2025 | £0.00 | £40.10 | £40.10 |
| 31 March 2026 | £0.00 | £39.89 | £39.89 |
| 30 September 2026 | £0.00 | £40.10 | £40.10 |
| 31 March 2027 | £1,000.00 | £182.56 | £1,182.56 |
| Total | £1,000.00 | £422.74 | £1,422.74 |