- HydrogenOne and Foresight acquire equity stakes in the new green energy company. HH2E founders and executive board members keep majority stake.
- HydrogenOne and Foresight will co-invest in HH2E’s projects directly.
- With its €2.7bn investment plan covering multiple GW production capacity, HH2E is poised to become one of the largest producers of green hydrogen in Germany.
HH2E AG is pleased to announce definitive agreements with HydrogenOne Capital Growth plc (“HydrogenOne”) and funds managed by Foresight Group LLP (“Foresight”) for the acquisition of minority equity stakes in HH2E, expected to total at least 12 million euros. HydrogenOne and Foresight each have the right to a supervisory board seat at HH2E AG.
HH2E has developed a cutting-edge new generation power station, the HH2E-Werk can operate with a limited number of hours a day of renewable power as input in order to supply a constant flow of carbon-free power, green hydrogen, and heat. Being able to use only the energy generated in the hours with lower energy prices, its operating cost base is competitive.
Foresight and HydrogenOne have also signed a framework agreement 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.
The HH2E founders and executive board members, Alexander Voigt, Andreas Schierenbeck and Mark Page, welcome the new shareholders and are excited to work with HydrogenOne and Foresight on the HH2E growth plan.
Alexander Voigt, said “when creating HH2E we wanted to build a business capable of making the 100 per cent renewable energy dream possible. Today, our purpose became even more relevant as HH2E business activities can also help Germany reduce its energy import needs, with price-parity in mind, while fighting global warming.”
Andreas Schierenbeck, mentioned “Germany has one of the largest industrial and manufacturing sectors in the world. Leaders in these sectors know they must secure the supply of energy, control energy costs, and find low- or zero-carbon solutions soon. Green hydrogen is the best, fastest, and most economic form of replacing natural gas in industries that cannot operate on an all-electric basis. HH2E will be producing green hydrogen located close to the industries that need it.”
Mark Page, said “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 a substantial portion of the 2.7bn euros we expect to deploy on sites in the next 5-6 years.”
Over the next few years, the emphasis will be on decarbonising existing industrial sites, but over the time, HH2E will also develop greenfield projects. HH2E has already identified several potential multi-gigawatt investment opportunities in Germany.
Simon Hogan, Chairman of HydrogenOne said “HH2E is HydrogenOne’s second investment into a clean hydrogen developer company. HH2E are indentifying substantial clean hydrogen projects in Germany, which offer the potential for significant investment there for our shareholders.”
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.’
Germany is aiming to get almost 100 per cent of its electricity from renewables by 2035, making the development of renewable power generation and green hydrogen industries top priority for the country in the decades to come. Until 2030 the German government targets reach a generation capacity of 360 GW of wind and solar power; and the installation of 10 GW of electrolyzer capacity.
About HH2E
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. Learn more about the company, technology, projects and careers at www.hh2e.com
About Foresight
Foresight Group was founded in 1984 and is a leading listed infrastructure and private equity investment manager. With a long-established focus on ESG and sustainability-led strategies, it aims to provide attractive returns to its institutional and private investors from hard-to-access private markets. Foresight manages over 300 infrastructure assets with a focus on solar and onshore wind assets, bioenergy and waste, as well as renewable energy enabling projects, energy efficiency management solutions, social and core infrastructure projects and sustainable forestry assets. Its private equity team manages eight regionally focused investment funds across the UK, supporting over 130 SMEs. Its Foresight Capital Management team manages four funds with £1.5 billion Assets Under Management (AUM), investing in listed real assets with environmental and social benefits. Foresight operates from 12 offices across seven countries in Europe and Australia with AUM of £8.7 billion as at 31 March 2022. Foresight Group Holdings Limited listed on the Main Market of the London Stock Exchange in February 2021. https://www.fsg-investors.com/
