Hexagon Purus acquires stake in cryogenic hydrogen storage technology company, adding future complementary capabilities to its portfolio

 (Oslo, 21 April 2022) Hexagon Purus, a world-leading supplier of zero-emission mobility solutions, has entered into an agreement to acquire 40% of Cryoshelter GmbH’s (“Cryoshelter”) liquid hydrogen business. The transaction is in conjunction with Hexagon Composites’ acquisition of a 40% stake in Cryoshelter’s liquid natural gas (LNG) business.

Cryoshelter’s liquid hydrogen tank technology is in the early stage of development and builds on superior and differentiated LNG technology that provides more fuel capacity and higher hold times (a critical requirement for cryogenic storage) than competing offerings. The transaction brings early-stage expertise in liquid hydrogen tank technology for zero-emission mobility applications and could potentially result in a future complimentary offering to Hexagon Purus’ market-leading compressed hydrogen cylinder technology.

Key terms and structure of the transaction
An initial investment of EUR 3.5 million for 40% of the shares in Cryoshelter’s liquid hydrogen business.
The transaction contemplates a split of Cryoshelter into separate legal entities for the liquid hydrogen and liquid natural (renewable) gas businesses, enabling Hexagon Purus’ direct investment in early-stage liquid hydrogen tank technology.
The separation of Cryoshelter’s liquid hydrogen and liquid natural gas businesses recognizes the different phases of market and product development – there is an established market for liquid natural gas mobility solutions and Cryoshelter’s technology is already at a pre-commercial stage, while the market and products for liquid hydrogen storage are in the early stage of development with a longer runway to commercialization.
Synergies between the separated business entities are expected to be maintained in key functional areas, sharing resources where possible.

Hexagon Purus and Cryoshelter will further develop the technology and business over the next few years.
Hexagon Purus has options to buy the remaining interests in Cryoshelter over the next 5 -10 years.
The closing of the transaction is expected to take place in the third quarter of 2022, subject to the fulfillment of certain closing conditions and customary regulatory approvals.

Source: Hexagon Purus