AAA Tritium takes in Cigna investment

Tritium takes in Cigna investment

Cigna Investments, a subsidiary of healthcare insurance provider Cigna, has provided A$40m ($29.5m) for one of its portfolio companies, Tritium, an Australia-based electric vehicle charging technology developer, through a private placement.

In May, Tritium agreed to a $1.2bn reverse merger with special purpose acquisition company Decarbonization Plus Acquisition Corporation II (DCRN). That deal will enable Tritium to take up DCRN’s listing on the Nasdaq Capital Market.

Cigna had also contributed to a A$45m ($31.2m) private placement debt financing for the company in June 2020.

Tritium was founded in 2001 and is focused on the development and manufacture of direct current charging technology for electric vehicles. It plans to use the proceeds of the placement to grow its global operations, notably its production, sales and administrative support departments.

The company announced in August 2019 that it would raise $20.4m from unnamed new and existing investors.

Fuel forecourt system provider Gilbarco Veeder-Root acquired a 19.3% stake in Tritium in 2018 by investing $39m, according to an Australian Financial Review report noting that Tritium had amassed $90m across several funding rounds in the past two years.

The company raised $7.9m from individual backer Brian Flannery in August 2017, four months after receiving $3.8m in equity funding. Its other shareholders include private investor Trevor St Baker and his St Baker Energy Innovation Fund in addition to industrial manufacturer Varley Group.