The share price of ElectReon Wireless is up 13% on a large turnover in trading, after the company reported that it had won a tender for demonstrating electrified road technology in Sweden. The company’s share price has soared 270% this year, pushing its market cap up to NIS 545 million.
The electrified road in Sweden, based on the dynamic wireless loading technology developed ElectReon, is designed to accommodate wireless loading of electric trucks and buses while they are driving on the road. In order to carry out the project, ElectReon formed a consortium of companies, led by its subsidiary, ElectReon Ab.
A 1.6-kilometer electrified road will be built in the project as part of a 4.1-kilometer route between the airport and the city of Visby on the Swedish island of Gotland. The electric bus will function as a public shuttle, and the electric truck will be tested by a professional driver in order to verify that the system is ready for a large project on high-speed roads. The cost of the project is estimated at NIS 45 million, with the Swedish government paying for NIS 335 million and the rest by the consortium companies.
The consortium consists of EiTech, a part of leading global infrastructure group Vinci Energies; European research institute RISE; public transportation company Dan, a party at interest in ElectReon; and a number of other international companies.
ElectReon says that the Swedish government has a road map for an electrified road. The plan includes construction of 2,000 kilometers of an electrified road on high-speed highways for dynamic charging of electric trucks at an estimated cost of $3 billion.
ElectReon said, “The payments by the Swedish government will cover the company’s expenses in the three-year project… No final agreement has been signed yet with the Swedish transportation authority, and it is possible that some of the project terms may be different than those listed in this report.”
ElectReon, led by cofounder, chairperson, and CEO Oren Ezer uses smart road technology for wireless charging of electric vehicles. The company’s technology is based on coils beneath the road surface for wireless transmission of energy to vehicles traveling on it. The aim is to extend the travel range of electric vehicles, while saving charging time and reducing the vehicles’ weight. The vehicles need only a small battery for traveling on road sections lacking the company’s coil infrastructure.
In the first stage, the company plans to apply its technology on buses and trucks riding in fixed lanes, and later in private vehicles. Implementating the technology also depends on cooperation by the regulators.
ElectReon recently signed a cooperation agreement with the Tel Aviv municipality for a the first pilot of its kind in operating a Dan public transportation route on electric road infrastructure.
Ezer said today, “ElectReon’s wireless electric road technology makes it possible to profitably electrify a fleet of trucks without carrying huge batteries and stopping to charge them, and without creating an eyesore. Scandinavia, especially Sweden, is a global leader in environment and electrified transportation. The selection of ElectReon by the Swedish government shows recognition of the technology’s potential to revolutionize global transportation electrification for the next and critical stage of full implementation.”
ElectReon as founded in late 2013 by Ozer and CTO Hanan Rumbak. They previously served in various positions at Elbit Systems. The company was listed on the TASE after being merged into stock exchange shell Biomedix Incubator in October 2017; its value has since multiplied 12-fold. ElectReon’s most prominent shareholders are Ezer and Rombak, 18.7% each, and Dan Bus Company, 13.5%.
Published by Globes, Israel business news – en.globes.co.il – on April 14, 2019
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