Good Energy invests a further £1.7m in Zapmap

12th Jun 2024 13:06

(Sharecast News) - Renewable electricity supplier and energy services provider Good Energy Group announced a further £1.7m strategic investment in Zapmap on Wednesday, through a convertible loan note.

The AIM-traded firm currently holds 49.9% of Zapmap's issued share capital.

It said the investment, now fully drawn down, would accrue interest at 10% per annum and could be converted to equity at a material discount during specific events, including a sale of the business, subsequent funding rounds, or on or after 31 January 2025.

Since its initial investment in 2019, Good Energy had provided around £7.5m in funding to Zapmap, with the latest investment funded from existing cash reserves.

Zapmap would use the investment to further develop its business-to-business services, Zapmap Spark and Zapmap Insights, while continuing its focus on the UK market and expanding its mapping services to the US and other European markets.

Good Energy said Zapmap aimed to reach breakeven during 2025.

Zapmap's consumer app, designed for EV drivers to search, plan, and pay for charging, had become the leading app in its category with over 1.54 million downloads and 860,000 registered users.

It held a significant market share among the UK's one million battery electric vehicle owners, and was monetized through a 'freemium' subscription model, media, and payments.

Additionally, Zapmap had developed a growing API and data offering.

Zapmap Spark, launched in October last year, allowed other organisations to integrate Zapmap data into their digital products.

Zapmap Insights, leveraging the UK's most comprehensive database of public EV charging points, meanwhile provided up-to-date data essential for businesses and organisations, including the Department for Transport, to track the UK's EV charger roll-out.

"Zapmap is playing a critical role not only to hundreds of thousands of EV drivers, but to the UK's decarbonisation pathway through the data and technology it has built," said Nigel Pocklington, Good Energy's chief executive officer and the chair of Zapmap.

"We are proud to have supported the company in building a significant user base, maintaining share in the rapidly growing EV driver market.

"We are confident that their burgeoning offerings to businesses and other organisations in Spark and Insights will see similar success."

At 1145 BST, shares in Good Energy Group were up 0.2% at 254p.

Reporting by Josh White for Sharecast.com.