Germany – Thyssenkrupp, the German industrial company, has formally launched the highly anticipated initial public offering (IPO) of its hydrogen branch, Nucera.
The company plans to sell further Nucera shares in order to raise up to €600 million ($645 million). According to Thyssenkrupp, the IPO is anticipated to be finished prior to the summer break, barring favourable market circumstances.
With a 66-to-34 ownership split, Nucera is a joint venture between Thyssenkrupp and De Nora of Italy. It focuses on designing electrolysers, which are essential for producing green hydrogen. Nucera faces competition from businesses like Nel from Norway, ITM Power from the UK, McPhy Energy from France, and Plug Power from the United States in the quickly expanding sector of green hydrogen.
The original IPO plan presented in January 2022 is aligned with the anticipated proceeds of €600 million. The idea had to be put on hold, nevertheless, because of adverse financial markets before the war in Ukraine.
Alkaline water electrolysis, on which Nucera focuses, is expected to account for 60% of worldwide market share by 2030, according to Credit Suisse. Large-scale projects are well suited for this technology. In contrast, it is anticipated that proton exchange membrane electrolysis will account for around one-third of the market.
IPO purpose
The purpose of Nucera’s IPO is to raise the money required to advance and spread its electrolysis technology. Green hydrogen has drawn a lot of interest as a potential clean and sustainable energy carrier since it can be created by electrolysis utilizing renewable energy sources. It has the potential to decarbonize a number of industries and sectors, including transportation and industrial operations, which would help to slow down global warming and lessen our dependency on fossil fuels.
Although Thyssenkrupp’s Nucera has difficulties, the IPO offers an attractive chance for the company to generate money and accelerate its expansion. Multiple firms are striving for market share in the competitive market for green hydrogen. In order to draw investors and make a name for itself in this crowded market, Nucera will need to showcase the distinctiveness and effectiveness of their electrolysis technology.
