H2X secures a US$57m cornerstone investment agreement to accelerate growth

H2X Global (“H2X”), the world’s leading hydrogen fuel cell vehicle company, has secured a USD $57m cornerstone investment agreement from Verde Mobility (“Verde”), which will drive the rapid deployment of its cutting-edge vehicle range to customers in Asia, India, Australia, and Europe. The agreement will provide immediate growth to H2X as it will finance the delivery of its USD $25.7m in firm vehicle orders while supporting its planned listing on the London Stock Exchange.

Key terms:

  • The equity financing deal gives H2X the option to accept up to USD $57m from Verde Mobility from 2023 to 2024.
  • Verde will make an initial USD $3.4m investment into H2X.
  • H2X will continue to get access to capital as it delivers on operational milestones.

Verde Mobility is making several other investments across the industry to develop a clean mobility ecosphere, which will see H2X benefit from a wide range of industry experts, shared resources, and collaborative manufacturing capabilities.

This collaboration opens the doors to numerous major manufacturing and distribution facilities across the wider European region for H2X. As a result, H2X can start delivering an array of hydrogen-based vehicles to the market at a competitive cost and on a commercial scale.

“Our hydrogen fuel cell and powertrain technology ensure our vehicles match the performance of traditional fuels and outperform battery electric,” remarks Brendan Norman, CEO of H2X Global. “Together with Verde’s robust manufacturing network, we are paving one of the world’s first commercially viable paths to decarbonize the transport sector.”

“Through this, we are providing a solution to cost and performance challenges associated with carbon-free transport, which is a proposition that will transform the automotive industry.”

H2X believes this will place them at the forefront of the transition to hydrogen vehicles and give them a first-mover advantage that will allow them to take significant market share.

H2X’s key focus will now be to unlock its global book of purchase intent agreements (totaling USD $300m), which covers 800 vehicles, including its Warrego (utility vehicle), Paroo (garbage/deliver/concrete trucks), and Swan (passenger bus).

H2X will sustain its growth through the launch of the Darling Van/Taxi, which will be the Company’s first fully designed and developed vehicle, giving it greater market speed and increased profitability.

“The Verde agreement paves the way for us to fast-track the launch of our fully developed Darling van. We anticipate this will crank up our vehicle production to 25,000 units a year, and provide a sturdy financial foundation for the Company,” Norman added.

With its unique origami chassis and plug-and-play powertrain, the Darling Van reduces manufacturing costs, improves profit margins, and delivers a top-notch vehicle with stellar operational outputs. Once complete, H2X will roll this out across multiple vehicle classes. “With Verde Mobility’s strategic investment, H2X is all set to significantly expand its operations and lead the shift to hydrogen vehicles, securing a pole position in the rapidly evolving clean mobility landscape.”