WEX Venture Capital Seeks to Invest up to $100M to Help Advance EV Fleet Transition

WEX (NYSE: WEX), the global commerce platform that simplifies the business of running a business, today announced that its Board of Directors has authorized a new investment arm of WEX, WEX Venture Capital, to invest up to $100 million through the end of 2025, which will likely be made predominantly in early-stage companies focused on the energy transition, including areas such as fleet electrification, the electric vehicle (EV) charging ecosystem, energy management and optimization, and adjacent technology. WEX Venture Capital has already started to deploy capital, including minority investments in Chargetrip and ev.energy.

“WEX Venture Capital is proof that we do not have to choose between doing what’s right for business and what’s right for the future of mobility,” said Melissa Smith, Chair, Chief Executive Officer, and President, WEX. “From routing and energy management to fuel payment systems, the energy transition will benefit from innovation in fleet management offerings, creating flexibility for our customers to seamlessly charge or fuel at work, home, and en route. WEX Venture Capital’s investments will be aimed at supporting companies focused on the critical back-end infrastructure necessary to achieve widespread commercial EV adoption, while also creating new value for WEX’s global fleet customers navigating the evolving electric mobility ecosystem. This is a crucial moment for WEX and the larger fleet industry, and we’re proud to help lead this transition.”

Already a trusted advisor to fleet mobility customers, including more than 18 million vehicles serviced globally as of Q2 2023, the portfolio companies in which WEX Venture Capital expects to invest will have the potential to benefit from the capital investment as well as the potential commercial opportunities presented by WEX’s fleet mobility customers and partners across the broader and evolving fueling and charging ecosystem.

“In the years to come, the energy transition will transform how we move employees and goods around the economy,” said Jay Dearborn, Chief Strategy Officer, WEX. “WEX Venture Capital positions WEX to not only serve our commercial customers with the innovation we drive from within, but to also participate and help unlock rich innovation that is happening across the ecosystem.”

The new initiative reflects the importance of engaging with outside innovators and companies, which complements WEX’s historical approach to growth through traditional M&A and internal development efforts. WEX Venture Capital diversifies WEX’s long-term strategy by positioning the company to identify new revenue models, provide visibility beyond WEX’s current product roadmap, and participate in the early-stage product innovation ecosystem as many of its fleet mobility customers begin to migrate from internal combustion engine vehicles to EVs and mixed fleets as part of the energy transition.