GM takes a stake in electrical boating start-up Pure Watercraft
Pure Watercraft motors use lithium ion batteries and change 40- to 50-horsepower outboard motors that burn fuel or diesel. Conventional fuel-powered boats contribute to environmental issues together with noise air pollution, smog, and water air pollution that’s plainly seen floating on the water of their wake. Pure’s programs are a lot quieter and cleaner.
For Pure Watercraft CEO Andy Rebele, a lifelong fishing and boating fanatic and former rowing coach, a private drive to unravel these issues lined up with an enormous market alternative.
In accordance with the Nationwide Marine Producer’s Affiliation (NMMA) outboard engine gross sales within the U.S. reached a report stage throughout 2020, rising for the ninth consecutive 12 months, to an estimated $3.4 billion.
“The boating market is rising prefer it hasn’t since post-World Conflict II,” says Rebele. “In the course of the pandemic, individuals needed to do issues with their households, with their pods. Going out on the water is without doubt one of the splendid issues to do.”
That rising market is on GM’s radar as effectively. CEO Mary Barra hinted at GM’s curiosity in electrical marine transportation in a weblog submit in October, discussing the corporate’s Ultium battery and Hydrotec gas cell platforms.
Courtesy: Pure Watercraft
With its funding, GM will change into a provider of parts to Pure Watercraft, a co-developer of latest merchandise, and can present engineering, design and manufacturing experience to assist the start-up set up new factories, the businesses advised CNBC.
Its new partnership with GM ought to assist the start-up navigate provide chain points as Pure Watercraft grows, Rebele mentioned.
For GM, the funding in Pure Watercraft is one other in a sequence of strikes to broaden its battery and gas cell programs outdoors of automotive. Earlier this 12 months, GM introduced plans to develop and commercialize electrical locomotives with Wabtec. It additionally has proven curiosity in utilizing its batteries and gas cells for aerospace and army purposes.
Pure Watercraft’s post-money valuation stands at $600 million. The 55-employee start-up had beforehand raised $37 million in enterprise funding.
— CNBC’s Mike Wayland contributed to this report.