Motor Fuel Group and Morrisons have entered into an agreement relating to the proposed acquisition by MFG of 337 Morrisons petrol forecourts across the UK – as well as more than 400 associated sites – for the development of ultra-rapid charging provision.
The proposed £2.5bn transaction forms a new strategic partnership between the two companies. As part of the transaction, Morrisons will take a minority stake of approximately 20% in MFG, and enter into commercial and supply agreements with MFG, underscoring the long-term nature of the commercial partnership.
According to the two companies, the proposed transaction will create significant synergies across both fuel retail and ancillary services, as well as scale advantages and growth opportunities for both businesses.
MFG will install ultra-rapid devices across the new sites in a significant expansion of its network.
“As the needs of the customer continue to evolve, Morrisons and MFG’s partnership will see us combine our respective expertise and resources to deliver the best value for customers at the pump, in our convenience stores and in our supermarkets," said Rami Baitiéh, CEO of Morrisons.
"It means Morrisons customers will continue to see a competitive and attractive forecourt offering, including expanded access to EV charging, while also benefitting from greater focus on investment in Morrisons’ core food business.
"We are delighted to have such a strong partner in MFG and look forward to the opportunities a combined MFG and Morrisons forecourt offering will provide.”
The benefits of the transaction include a commitment to supermarket fuel pricing across the Morrisons estate: value-for-money supermarket fuel will remain the offering on Morrisons forecourts, with the Morrisons brand above the door.
Across the sites acquired by MFG, the charge point operator will install its distinctive blue and green ultra-rapid devices, significantly expanding its nationwide EV charging network. Indeed, MFG is targeting the installation of 800 ultra-rapid 150kW chargers, in hubs, within the first five years alone. These chargers can add 100 miles of range in approximately 10 minutes.
MFG has committed to completing a £400m EV charge point rollout by 2030.
“MFG is proud to be a British entrepreneurial success story that is investing in jobs, critical infrastructure, and serving our communities to help the country achieve its decarbonisation transition," said William Bannister, CEO of MFG.
"This strategic acquisition, and the resulting partnership with the highly respected Morrisons brand, is the next major growth investment for MFG. It is anchored in the potential for us to accelerate the roll-out of ultra-rapid EV charging infrastructure across the UK while also giving customers a first-class retail offer.
"We will be there to serve and power our customers, regardless of what car they drive in the years and decades ahead as we play a key role in keeping the country and its economy moving. We look forward to working with Morrisons to provide best-in-class charging, refuelling and retail experiences for all our customers.”
According to Zapmap statistics, the MFG EV Power network comprises over 600 devices across 130+ charging locations at present.
This level of investment will position MFG as one of the largest and most significant ultra-rapid charge point operators in the UK, with over 1,300 sites serving and powering millions of customers a week. MFG will also grow to become the UK’s number two convenience store operator serving communities across the country.
MFG has already committed to completing its market-leading £400m EV rollout by 2030, and through this partnership intends to electrify approximately 800 sites with thousands of ultra-rapid chargers across the combined estate in that timeframe.
“It’s fantastic to see MFG partnering with Morrisons to deliver reliable, high-powered charging for electric car drivers across the country," said Melanie Shufflebotham, Co-founder & COO at Zapmap.
"This acquisition of sites for EV charging amounts to a significant expansion of MFG EV Power’s ultra-rapid network and is undoubtedly a win for UK motorists.
"MFG’s fast-paced rollout of charging hubs is certainly impressive, while the increased availability of ultra-rapid charging capabilities across the UK will contribute to greater adoption of vehicles, which of course pollute less and support our collective efforts to reduce harmful carbon emissions.”