On Thursday, Israeli-listed cleantech startup GenCell, which makes hydrogen-on-demand fuel cells and is an innovator in green ammonia energy development, announced that it has received a major investment from a group of institutional investors. The share purchase has been led by BNP Paribas through its BNP Paris Energy Transition Fund, along with Japan’s TDK Ventures and other investors.
Roughly $8 million of the roughly $14.3 million equity investment comes from BNP Paribas Energy Transition Fund, which has previously invested in green energy through stake in Ballard Power Systems, a leading supplier of hydrogen fuel cell technology. The rest is spread across several international funds, including TDK Ventures, which earlier this year announced a research partnership with GenCell toward the development of green ammonia as an energy source.
Under the TDK partnership, GenCell will develop technological Proof of Concept for an end-to-end, clean, low temperature and energy-efficient process for green ammonia production that can replace the 235 million metric tons of industrial ammonia currently produced, an opportunity that reflects (per GenCell’s estimates) a market value of $70 billion.
“We are pleased to finalize our initial investment in GenCell, whose innovative fuel cell and hydrogen technologies closely align with the sustainable finance values and guidelines directing our investments,” BNP Paribas Energy Transition Fund Director Edward Lees said, noting that the BNP Paribas Foundation was one of the first organizations to finance climate research and that the company regards energy transition and renewable energy as a pillar of its global engagement.
“The [BNP Paribas] Group believes that hydrogen and fuel cells have a strong role to play in the transition to a low carbon economy, whether in mobility, in industry or in energy storage,” Lees said. “BNP Paribas Capital Partners understands that working towards economic development in the 21st century means taking action to accelerate the energy transition, and we are confident that by further developing its technologies, GenCell will contribute to this transition which is critical to overcoming climate crisis. We hope that our investment will accelerate their technology’s time to market.”
“TDK Ventures’ repeat investment in GenCell once again highlights our belief in GenCell’s game- changing technology and leadership position in the fuel cell space, in accordance with TDK and GenCell’s mutual vision to deliver affordable green energy,” commented Nicolas Sauvage, Managing Director of TDK Ventures, the investment arm of TDK Corporation, the Japanese major electronics company and a world leader in the manufacture of lithium-ion batteries.
GenCell Co-Founder and CEO Rami Reshef said the firm was “extremely honored and appreciative” to be on the receiving end of institutional and private investment.
“We recognize the investment by BNPP– large and important institution focused on investments in [the] renewable energy and hydrogen sectors–to be an expression of belief in GenCell’s revolution that we are undertaking. This investment follows upon our recent announcement regarding closer cooperation with the Japanese corporation TDK to develop the fuel of the future: green ammonia. The investment will enable us to continue to extend the momentum towards the objectives we set for ourselves in terms of establishing cooperation with important international bodies and reinforcing the positioning of GenCell in our target markets,” Reshef said.
