EVgo (EVGO, Financials) announced plans to expand its network of electric vehicle charging stalls at Meijer grocery stores across six Midwest states, backed by a $1.05 billion loan guarantee from the Department of Energy; EVgo shares are up 9.8% on Tuesday's early morning trading.
The business will build 480 public fast charging stations at Meijer stores in Michigan, Illinois, Wisconsin, Indiana, Ohio, and Kentucky, expanding capacity from 24 at six Michigan and Ohio shops.
Dennis Kish, president of EVgo, said the alliance with Meijer shows a shared dedication to improve charging infrastructure for Midwest electric car users as usage in the area increases.
The Department of Energy's loan guarantee helps EVgo grow its public charging infrastructure as part of the Biden Administration's Investing in America initiative. EVgo wants to install 7,500 public charging connections at 1,100 US stations to compete with Tesla's (TSLA, Financials) countrywide charging network.
Electric vehicle stocks are on the rise after President-elect Donald Trump's victory, particularly after Tesla CEO Elon Musk was named to the cabinet of the incoming administration.
