Gogoro Announces Exclusive Distribution Partnership with Cycle & Carriage in Singapore; Plans For Commercial Battery Swapping and Smartscooter Availability in Q4 2024

Rhea-AI Summary

Gogoro Inc. (Nasdaq: GGR) has been certified to launch its battery swapping and Smartscooters in Singapore, with plans to launch in Q4 2024 through its exclusive distribution partner, Cycle & Carriage (C&C). This follows a successful sandbox pilot with foodpanda, which demonstrated high satisfaction among riders. C&C has also partnered with Shell Recharge to launch battery swapping GoStations at Shell service stations in Singapore.

Key points:

• Three Smartscooter models will be available: SuperSport, Premium, and Viva Mix
• Pilot results show riders accumulating ~2,200km per month with up to two battery swaps daily
• First Shell-based GoStation expected by August 2024
• Gogoro Network in Taiwan supports 600,000+ riders with 1.4 million batteries and 12,500 GoStations

Positive

• Certification to operate in Singapore, expanding Gogoro's market presence
• Exclusive distribution partnership with Cycle & Carriage in Singapore
• Partnership with Shell Recharge for battery swapping stations at Shell service stations
• Successful pilot program with foodpanda, demonstrating high rider satisfaction
• Plans to launch three Smartscooter models in Q4 2024

Negative

• None.

Insights

Market Research Analyst

The announcement of Gogoro's partnership with Cycle & Carriage (C&C) for commercial battery swapping and Smartscooter availability in Singapore is significant for a few reasons. Firstly, it indicates a successful transition from a pilot phase to full commercial operations, which can often be a critical milestone in proving both the viability and scalability of a new technology. The positive feedback and high satisfaction scores from the pilot, especially from professional users like foodpanda riders, suggest a strong product-market fit. This could potentially drive high adoption rates upon commercial launch.

From an investor's perspective, the partnership with a well-established distributor like C&C and a globally recognized brand like Shell Recharge could signal significant market confidence. The strategic placement of GoStations at Shell service stations ensures high visibility and accessibility, which could boost user adoption. Furthermore, the environmental benefits mentioned, such as the reduction in CO2 emissions, align with global trends towards sustainable investments, potentially attracting ESG-focused investors.

However, investors should also consider the challenges of entering a new market, including regulatory hurdles and competition from other electric mobility solutions. While the initial feedback is positive, the real test will be the commercial performance post-launch.

Financial Analyst

From a financial standpoint, Gogoro's move into the Singapore market represents a strategic expansion that could have substantial revenue implications. The company's success in Taiwan, with over 600,000 riders and 400,000 daily battery swaps, demonstrates a proven business model. If replicated in Singapore, this could lead to significant revenue growth. The partnership with Cycle & Carriage (C&C) and Shell Recharge further reduces the financial risk by leveraging established networks for distribution and service locations.

Short-term implications include the costs associated with the initial setup, marketing and potential subsidies required to attract early adopters. However, if the pilot's positive feedback is indicative of future performance, these investments could yield high returns. In the long-term, the recurring revenue from battery swaps and potential expansion into more Southeast Asian markets could significantly enhance Gogoro's financial stability and growth prospects.

Investors should keep an eye on the actual adoption rates and revenue figures post-launch to gauge the success of this expansion. A critical evaluation of the company's financial health, cash flow and profit margins in the coming quarters will be essential to understand the true impact of this expansion.

Tech Expert

The technical aspects of Gogoro's battery swapping network and Smartscooters are quite impressive. The ability to swap a battery in less than a minute addresses a significant pain point in electric mobility: long charging times. The high satisfaction scores related to speed, heat management and ride comfort from the pilot phase indicate a strong product. Moreover, the integration of a smart, continually optimizing battery network shows a forward-thinking approach that leverages data for continuous improvement.

The implementation of GoStations at Shell service stations also highlights a robust infrastructure strategy. By utilizing existing locations, Gogoro can lower the barriers to entry for new users and provide a more seamless transition from traditional fueling to battery swapping. This approach not only supports user adoption but also enhances the sustainability of the overall system by reducing the need for new infrastructure development.

In summary, the technical execution appears solid and the infrastructure partnerships are strategically sound. Investors should be encouraged by the technological robustness and the scalability potential of Gogoro's solutions in new markets like Singapore.

The planned commercial availability follows a successful sandbox pilot previously awarded by Singapore's Land Transport Authority.

C&C also announced it was partnering with Shell Recharge to launch battery swapping GoStations at Shell service stations in Singapore.

SINGAPORE, July 17, 2024 /PRNewswire/ -- Gogoro Inc. (Nasdaq: GGR), a global technology leader in battery-swapping ecosystems that enable sustainable mobility solutions for cities, today announced it has been certified to launch its battery swapping and Smartscooters in Singapore and plans to launch with its exclusive distribution partner, Cycle & Carriage (C&C) in Q4 2024. Cycle & Carriage (C&C) also announced a partnership with Shell Recharge to launch battery swapping GoStations at Shell service stations in the Singapore market.

"After working closely with Singapore's Land Transport Authority (LTA) to secure a permit to launch our battery swapping platform in Singapore, I am pleased to announce that Gogoro is now certified to operate in Singapore. This certification is a testament to how safe, smart, reliable and eco-friendly Gogoro battery swapping is," said Horace Luke, founder and CEO of Gogoro. "Gogoro, Cycle & Carriage and foodpanda have been participating in a pilot that has demonstrated incredible success and we look forward to transitioning to commercial operations soon. We are looking forward to providing a seamless path for riders to adopt sustainable electric transportation in Singapore."

"While battery swapping technology and two-wheel electric vehicles are relatively new in Singapore, our partnership with Gogoro will accelerate the growth," said Wilfrid Foo, Managing Director of Cycle & Carriage Singapore. "The positive feedback from foodpanda riders and valuable data gained from the sandbox pilot have given us confidence to commercialise Gogoro in Singapore. We believe that this is a viable green mobility solution for Singapore." 

Gogoro Battery-Swapping and Smartscooter Pilot Results
Announced in March 2023, Gogoro and C&C partnered with foodpanda, a leading food delivery platform, to trial Gogoro's Smartscooters and battery-swapping platform to gain insights in sustainable mobility solutions in Singapore. The pilot, which is slated to be completed by September 2024, has received positive feedback on the performance of the Smartscooters with high satisfaction scores for their speed, lack of heat, silent ride, and minimal vibrations. It has also been observed that battery swaps are quick and convenient, completed in less than one minute. The riders are also pleased with the all-inclusive leasing package and aftersales support offered by C&C. On average, each rider accumulated approximately 2,200km per month and performed up to two battery swaps per day. Each battery swap allows the riders to travel up to 100km.

C&C also announced today that they have partnered with Shell Recharge to launch Gogoro's battery swapping GoStations at Shell service stations in Singapore. The first Shell-based GoStation is slated for completion by August 2024, and more are expected at Shell stations across the city-state in the next two years.

Gogoro Smartscooters
C&C will be providing three electric Smartscooter models by Q4 2024:

• Gogoro SuperSport: The flagship model that provides superior power and sporty dynamics that are suitable for affluent riders.
• Gogoro Premium: The stylish, everyday commute vehicle that comes with gloss metallic body panels and seat badge.
• Gogoro Viva Mix: The cost-efficient model suitable for higher mileage users.

Gogoro Battery Swapping
The Gogoro Network is a new generation of swappable battery refueling that is smart, safe and continually optimising itself to be dynamic and versatile for riders, business, and communities. With more locations than gas stations in Taiwan's cities, the Gogoro Network supports more than 600,000 riders, has more than 1.4 million smart batteries in circulation through its network of 12,500 battery swapping GoStations racks at over 2,500 locations. There are more than 400,000 daily battery swaps and more than 600 million total battery swaps to date. More than 25 percent of last mile deliveries in Taiwan utilize Gogoro battery swapping. Gogoro Network battery swapping has avoided more than 1 million tons of CO2 emissions.

About Gogoro
Founded in 2011 to rethink urban energy and inspire the world to move through cities in smarter and more sustainable ways, Gogoro leverages the power of innovation to change the way urban energy is distributed and consumed. Recognized by Fast Company as "Asia-Pacific's Most Innovative Company of 2024"; Frost & Sullivan as the "2023 Global Company of the Year for battery swapping for electric two-wheel vehicles"; and, MIT Technology Review as one of "15 Climate Tech Companies to Watch" in 2023, Gogoro's battery swapping and vehicle platforms offer a smart, proven, and sustainable long-term ecosystem for delivering a new approach to urban mobility. Gogoro has quickly become an innovation leader in vehicle design and electric propulsion, smart battery design, battery swapping, and advanced cloud services that utilize artificial intelligence to manage battery charging and availability. The challenge is massive, but the opportunity to disrupt the status quo, establish new standards, and achieve new levels of sustainable transportation growth in densely populated cities is even greater. For more information, visit www.gogoro.com/news and follow Gogoro on Twitter: @wearegogoro.

About Cycle & Carriage
At Cycle & Carriage, we are passionate about creating people-focused experiences and exceptional journeys. Founded in 1899 in Kuala Lumpur, we are now a leading regional automotive group in Southeast Asia. Cycle & Carriage distributes, retails, and provides aftersales services for passenger cars as well as commercial vehicles in Singapore, Malaysia and Myanmar. Cycle & Carriage is a member of the Jardine Cycle & Carriage Group.

From passenger cars and commercial vehicles to used cars, Cycle & Carriage Singapore is one of the most diversified automotive groups in the country. With a network of six showrooms and service centers, and representing world-class brands such as Mercedes-Benz, Mitsubishi, Kia, Citroën, DS Automobiles, Maxus, ORA, smart, and used car arm, Republic Auto, we are committed to support our customers at every step of the way. At Cycle & Carriage Singapore, we are also dedicated to enable our people to follow their best paths. We have been one of HR Asia's 'Best Companies to Work For' since 2015.

Cycle & Carriage Singapore: www.cyclecarriage.com.sg 

FORWARD-LOOKING STATEMENTS
This communication contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to future events or Gogoro's future performance. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "should," "expects," "plans," "anticipates," "going to," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential" or "continue" or the negative of these words or other similar terms or expressions that concern Gogoro's expectations, strategy, priorities, plans or intentions. Forward-looking statements in this communication include, but are not limited to, statements about the potential partnership that Gogoro may be able to establish with Sumitomo Corporation and SMFL, including statements made by Gogoro's founder, chairman, and chief executive officer and Gogoro's chief financial officer.

Gogoro's expectations and beliefs regarding these matters may not materialize, and actual results in future periods are subject to risks and uncertainties that could cause actual results to differ materially from those expected as of the date hereof, including risks related to the parties' potential failure to enter into a legal binding and definitive agreement with respect to the partnership, the success of such partnership, the parties' ability to achieve their respective goals as mentioned above under such partnership and the parties' ability to achieve such goals in a timely manner. The forward looking statements contained in this communication are also subject to other risks and uncertainties, including those more fully described in Gogoro's filings with the Securities and Exchange Commission ("SEC"), including in Gogoro's Form 20-F for the year ended December 31, 2023, which was filed on March 29, 2024 and in its subsequent filings with the SEC, copies of which are available on the SEC's website at www.sec.gov. The forward-looking statements in this communication are based on information available to Gogoro as of the date hereof, and Gogoro disclaims any obligation to update any forward-looking statements, except as required by law.

 

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SOURCE Gogoro

FAQ

When will Gogoro (GGR) launch its Smartscooters in Singapore?

Gogoro (GGR) plans to launch its Smartscooters in Singapore in Q4 2024 through its exclusive distribution partner, Cycle & Carriage.

What Smartscooter models will Gogoro (GGR) offer in Singapore?

Gogoro (GGR) will offer three Smartscooter models in Singapore: SuperSport, Premium, and Viva Mix.

Who is Gogoro's (GGR) exclusive distribution partner in Singapore?

Gogoro's (GGR) exclusive distribution partner in Singapore is Cycle & Carriage (C&C).

What partnership did Cycle & Carriage announce for Gogoro's (GGR) battery swapping stations in Singapore?

Cycle & Carriage announced a partnership with Shell Recharge to launch Gogoro's (GGR) battery swapping GoStations at Shell service stations in Singapore.