John Cockerill and its subsidiary John Cockerill Hydrogen, have received binding commitments from SLB, a global energy technology company, SFPIM and Wallonie Entreprendre (WE), two leading Belgian public investment institutions, and international industrial-oriented family offices to participate to a €230m capital increase of John Cockerill Hydrogen, according to a news release.
SLB is acting as lead investor in John Cockerill Hydrogen’s capital funding round, targeted for completion by the end of June 2024.
Following this capital raise, John Cockerill will keep a large majority in John Cockerill Hydrogen.
Lazard served as financial advisor and Linklaters as legal counsel to John Cockerill in relation to the transaction.
Green hydrogen, a low-carbon energy carrier, offers a viable pathway for advancing decarbonization by replacing traditional fossil fuel-based grey hydrogen for various industrial sectors, including chemicals, heavy transport, and hard-to-abate industries, such as steel. Pressurized alkaline electrolyzers are a proven technology to economically produce green hydrogen at scale. John Cockerill Hydrogen is one of the global leaders in this field, having delivered 1300 electrolyzers around the world, with existing offerings including 5MW stacks and a complete 30MW pressurized alkaline electrolyzer system.
This fund raising is a major step to support John Cockerill Hydrogen’s strategy including the rolling out of gigafactories in key locations. The company is investing in expanding its global presence through a multi-local strategy by establishing electrolyzer production and service hubs in the USA, India, and the UAE. Similar investments are being considered in collaboration with major partners, in Morocco and in Vietnam.
SLB’s investment will enable the creation of a strategic partnership between John Cockerill and SLB aimed at accelerating the global development and manufacturing of John Cockerill Hydrogen’s next generation pressurized alkaline electrolyzers. In conjunction with the creation of Rely, a joint venture between John Cockerill and Technip Energies announced in November 2023, these strategic partnerships are designed to reinforce John Cockerill’s technological leadership in pressurized alkaline technology which is crucial given the scale of the challenges.
“We are thrilled to join forces with SLB in this groundbreaking partnership and to be backed by leading investors with a strong complementarity,” said François Michel, CEO of John Cockerill. “Combining our expertise in electrolyzer technology with SLB’s global reach and manufacturing and service know-how will further accelerate the adoption of our solutions to produce green hydrogen at scale. Our companies are remarkably complementary and share a strong commitment to technology and to delivering tangible solutions for decarbonization. Getting the support of the Belgian institutions such as SFPIM and WE as well as established industrial players demonstrates the commitment and potential of our project.”
