HydrogenOne plans £250M fundraising for ‘clean hydrogen’ fund, INEOS to be major investor

HydrogenOne Capital Growth Fund has announced plans to raise £250 million and list on the London Stock Exchange by the end of July. It plans to qualify for LSE’s Green Economy Mark at admission, which recognises companies that derive 50% or more of their total annual revenues from products and services that contribute to the global green economy. INEOS Energy has committed to be a ‘cornerstone investor’ with at least £25 million investment.
HydrogenOne said it plans to invest in hydrogen and complementary hydrogen-focused assets. It argues that over 30 countries have published hydrogen roadmaps, governments have announced over US$70 billion in funding for hydrogen and supplies of ‘clean’ hydrogen are expected to grow 20-fold by 2030 and 500-fold by 2050, potentially representing US$2.5 trillion in annual sales. This will require “significant and sustained investment and policy support for clean hydrogen and strong growth in the supply chains behind it”. It adds that over 200 hydrogen projects have been announced.
The Investment Adviser, HydrogenOne Capital LLP, expects that in the short term the clean hydrogen industry will remain dominated by bespoke sources of supply, financed by specialised offtakers, typically at 20MW to 100MW scale. In 2025 to 2030 these facilities could be up-scaled to 100MW to 500MW scale, and ultimately to 1GW to 5GW. It has identified 36 potential investments to comprise an illustrative portfolio of potential investments for the Company and for some it has non-disclosure agreements in place, has conducted detailed due diligence and has made indicative non-binding offers of investment