LONDON, UK: HydrogenOne Capital Growth plc has signed definitive agreements for an investment of £5 million (EUR 6m) in HH2E AG.
HydrogenOne is investing alongside funds managed by Foresight Group LLP, as part of a funding round expected to total at least £10m (EUR 12m).
HydrogenOne and Foresight have also signed a framework agreement giving the right to co-invest in HH2E’s projects directly. They will provide a substantial part of the development and construction capital covering five large projects. These projects are expected to be at industrial locations across Germany and will cost in excess of €500m to fully develop.
HH2E is a specialist in developing projects to decarbonise industry, using green hydrogen, with associated energy storage and hydrogen power generation facilities with the intention of providing 24/7 clean energy for customers.
With this purchase of a minority equity stake, HydrogenOne and Foresight each have the right to a board seat at HH2E, in addition to the co-investment rights in HH2E’s projects noted above.
HH2E has already identified a multi-billion and multi-gigawatt investment potential over several projects in Germany. Over the next few years, the emphasis will be on decarbonising existing industrial sites, but over time, HH2E intends to develop greenfield projects.
The first project HH2E is expecting to launch is likely to be at an industrial site in Germany, where there are plans for a new facility starting up in 2025, supplying on-site industrial customers.
Simon Hogan, Chairman of HydrogenOne said “HH2E is HydrogenOne’s second investment into a clean hydrogen developer company. HH2E are identifying substantial clean hydrogen projects in Germany, which offer the potential for significant investment there for our shareholders.”
Mark Page, HH2E co-founder and CFO commented “We’re delighted to have two substantial institutional investors in the green energy space backing our growth plans. This financing agreement enables a massive acceleration of our development plans and represents a substantial portion of the capital we expect to deploy on sites in the next 5-6 years.”
Matt Hammond, Partner at Foresight Group commented “Germany represents an attractive market, given the commitment by its industrial base to decarbonise with green energy, and especially given the strong political support to build a green hydrogen economy. HH2E is well positioned to take a leading role in this market and we are excited to be supporting the company in delivering on this ambition.’
HH2E is a new green-energy company in Germany founded to promote immediate change, its technology-mix can transform a variable input of sun or wind energy into a constant flow of price-competitive green hydrogen, heat and carbon-free electricity, to supply local industries and municipalities www.hh2e.com