BNP Paribas And Iberdrola to Launch Electric Vehicle Renting
French international banking group BNP Paribas and Spanish multinational electric utility company Iberdrola have announced a joint venture focused on the electric vehicle renting industry. It would provide all inclusive charging and distance pricing structures for private and institutional customers.
The venture would offer an all inclusive service supporting car renting, in-house and public charging stations, and different deals depending on the kilometers' use.
Iberdrola would install electric stations in their stores as well as BNP Paribas would promote the creation of other power stations in its network of real estate companies and partners. It would also include shopping centers.
The venture expects the creation of 150 thousand electric stations for cars in the next five years in Spain, Portugal, Italy, and France.
Raquel Blanco, Iberdrola's global director of Smart Mobility, said in the press release:
The agreement shows the ambition of both groups to continue promoting the electrification of transport and confirms the need to continue collaborating with all agents in the sector to respond to the challenges of mobility based on clean energy and without CO2 emissions.
With BNP Paribas, we have also managed to design a comprehensive and unique proposal, which responds to the needs of one of the fastest growing segments in the field of transport electrification, such as fleets destined for the last-mile distribution of purchases online.
Before, Iberdrola has reached agreements to promote clean energy uses with Porsche, car dealers, restaurants, and shopping centers.
The Expert Investor Takeaway
Iberdrola and BNP Paribas are moving ahead with new business options. In the case of the Bilbao electricity company, instead of fighting against the implementation of new technologies, they are rethinking themselves as a company that would lead the clean energy movement.
With the new deal, the company is securing a crucial role in the electrification of the streets in four key countries in Europe. We can expect they would move ahead to the United Kingdom after the recent expansions back in August.
On the other hand, BNP Paribas moves to take part in the renting car industry focused on electric vehicles and the urban version of new mobility.
The agreement signals more business for both companies in an industry that is still young so that they can play a role in the implementation of new technologies and regulations.
Iberdrola Stock Analysis
Shares of Iberdrola, traded in the Bolsa de Madrid market under the code IBE, performed positively on Wednesday as investors reacted positively to the news and ahead of the European Central Bank's monetary policy decision that will be taken on Thursday, December 10.
Currently, IBE is priced at 11.21 euros per unit. The unit remains subdued by the 11.50 euros per share level, which has been tested several times in the last six months.
Technical indicators suggest a neutral stance for the unit in the daily chart. However, it looks like IBE is recovering its bullish bias with the pass of the day. Especially after bouncing at the 50-day moving average level at 10.98 on December 7.
BNP Paribas Stock Analysis
Shares of BNP Paribas, traded under the code of BNP in the Euronext Paris, performed 1.21 percent positive on Wednesday as investors welcomed the news and ahead of the ECB meeting on Thursday.
The share is currently in the middle of a consolidation process coming from December 4 high at 45.87 euros per share and supported at 44.70 euros per unit on December 8.
Technically, IBE is trading in the middle of an uptrend that started on November 13 at around 38.75 euros per unit.
According to UBS, BNP Paribas remains as a top pick among French banks. The firm highlights investment banking options. "BNP Paribas is "well positioned to capture market shares in [investment banking] at a time when other European players are retreating."
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