Ceres Power Holdings PLC (LON:CWR) has announced that German engineering and technology giant Bosch will increase its stake in the company to 18% from 4% though a share suubscription, netting the fuel cell firm £38mln.
In a statement, the AIM-listed group said Bosch will acquire the additional stake through a subscription of around 11.9mln new shares at a price of 320p each, a 7.8% discount to Ceres’ Tuesday closing price.
The company said the money will be used to fund further uses for its solid oxide fuel cells and also diversify research & development activity towards potential electrolysis applications that can produce energy from gases such as hydrogen.
Ceres hailed the investment as a “significant strategic step forward” in its partnership with Bosch, which began collaborating with the firm in August 2018 to develop fuel-cell stacks for stationary power applications.
The firm added that the increased stake is intended to support potential mass manufacturing of Ceres SteelCell technology for multiple applications in the future.
Ceres chief executive Phil Caldwell commented: “Our successful partnership with some of the world’s leading [original equipment manufacturers], including Bosch, has seen us develop fuel cell applications for home, commercial and heavy transportation applications and establish Ceres as one of the leaders in the fuel cell industry.”
“This new investment will allow us to build upon this strong position and grow the business further into new areas which are needed for the energy transition such as electrolysis for hydrogen and synthetic e-fuels and developing higher power applications while also continuing to focus on the commercialisation of our core power systems”, he added.