HTEC Finalizes CAD$217 million transaction with Chart Industries and I Squared Capital to develop hydrogen solutions.
HTEC Hydrogen Technology & Energy Corporation (HTEC) announce the completion of a CAD$217 million investment in the Company by Chart Industries, Inc. (Chart) and I Squared Capital (ISQ).
Chart is a leading global manufacturer of liquefaction and cryogenic equipment serving multiple applications in the energy and industrial gas end markets, including hydrogen.
ISQ is an independent global infrastructure investment manager focusing on clean energy, utilities, telecom and transport in the Americas, Europe, and Asia.
This investment provides HTEC with significant capital to fund new green hydrogen production projects and to expand its hydrogen fueling station portfolio serving both the light-duty and heavy-duty markets. The transaction provides significant new cash to HTEC’s balance sheet and partial liquidity to HTEC shareholders.
This investment expands Chart’s ownership of HTEC to 25 percent and provides ISQ a 35 percent holding; HTEC’s original shareholders and employees will retain a 40 percent ownership in the company. The majority of directors of HTEC remain independent of Chart and ISQ, and the Company will remain headquartered in British Columbia
Colin Armstrong, HTEC’s President and CEO.
This is an exciting day for our company, HTEC’s great shareholders, and partners – new and old! Chart and ISQ’s investment will help to expand our capacity to deliver hydrogen supply solutions in support of the global clean energy transition.
“This signals both Chart’s and ISQ’s growing confidence in HTEC’s people, products, and technology – and reinforces our conviction that hydrogen plays a critical role on the path to net zero.”
HTEC provides the glue of the clean hydrogen value chain, integrating technologies, systems, people, and partnerships for hydrogen’s role in the global zero-emission future. As a market leader in North American clean hydrogen infrastructure solutions, HTEC has 17 hydrogen fueling stations operating or in development in Canada and the United States.
The company also delivers engineering and design services and specialty products and solutions to customers around the world.
Jill Evanko, Chart’s CEO and President.
Our increased investment in HTEC and partnership with ISQ is highly strategic. It capitalizes HTEC well to address near term opportunities where Chart can benefit as a core supply partner, while also providing flexibility to further consolidate our ownership position in a high-growth hydrogen business with significant Canadian presence and customer base.
“Canada is a high growth market for hydrogen, given the government’s commitments to the clean energy transition, with the hydrogen sector being a meaningful part of that commitment.”
Thomas Lefebvre, Partner at I Squared Capital.
I Squared Capital has tracked the growth of hydrogen in North America for some time and is excited to partner with two industry leading companies in HTEC and Chart in a sector that is so vital for the energy transition revolution.
Winston & Strawn LLP and Stikeman Elliott LLP served as legal advisors to Chart on the transaction. I Squared Capital used Stikeman Elliott LLP and Kirkland & Ellis LLP as legal advisors and Greenhill & Co. as financial advisor. Fort Capital Partners acted as financial advisor to HTEC on the transaction, and Blake, Cassels & Graydon LLP as legal counsel.
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HTEC Finalizes CAD$217 Million Transaction with Chart Industries and I Squared Capital, VANCOUVER, BRITISH COLUMBIA, September 8, 2021
