Better Place looks to expand to China
Dan Cohen appointed electric car venture' acting CEO following Evan Thornley's departure. At this stage, company plans to focus on marketing activities in Israel and Denmark
Cohen is replacing the Australian Evan Thornley, who stepped down after just three months following disagreements with controlling shareholder Idan Ofer.
Ofer believes that at this stage, the company should focus on marketing activities in Israel and Denmark, which already have full infrastructure deployment. Nonetheless, company officials say Cohen's appointment was not random.
"After Better Place proves its ability to sell electric cars in these two main markets, attempts will be made in about a year to expand to Europe, and at a later stage – in about five years – to the Chinese market, which Cohen is very familiar with."
Volker Steinwascher, the vice chairman of the Qoros automobile company, which is owned by Israel Corporation (Better Place's parent company) and China's Chery Automobile, said recently that the company planned to launch an electric car before 2017.
Company sources explain that its success in Israel and Denmark is critical in terms of its ability to raise capital. They believe that the company will require an additional cash infusion at the end of the first quarter of 2013.
"The company must show its investors results in Israel and in Denmark. The goal is to carry out aggressive infiltration moves and sell thousands of cars in Israel in 2013," one of the sources says.
The source adds that after additional vehicles hit the road, the company will find the time to deal with existing problems: "There is no doubt that in the future the network of battery switch stations will be reinforced, mainly in the Sharon region."
Company sources stress that the waves of layoffs have ended, but that further marginal cuts are expected in order to increase efficiency.
