Hyzon Motors Overview
Hyzon Motors is a pure-play hydrogen mobility company based in Rochester, New York. Hyzon also operates in Europe, Australia, Singapore, as well as China. Hyzon Motors was established after spinning off from Horizon Fuel Cell Technologies of Singapore, which has been specializing in fuel cell technology for close to 20 years.
Hyzon is a renowned manufacturer of zero emission hydrogen fuel cell commercial vehicles including buses, medium-duty trucks, as well as semi-tractor trailors. The goal of Hyzon Motors is to manufacture zero emission heavy-duty trucks and buses for clientele in Europe, North America, and across the globe. Hyzon co-founders include Craig Knight, George Gu, and Gary Robb.
In July 2020, Hyzon Motors made it public that it would build a plant in the Netherlands in partnership with Holthausen Clean Technology B.V. Currently, Hyzon Motors manufactures heavy commercial vehicles at its Groningen facility in Netherlands in partnership with Holthausen Clean Technology B.V.
In August 2020, Hyzon motors agreed to make FCEV buses for Fortescue Metals Group of Australia. According to Bloomberg, over 400 commercial vehicles on the road have Hyzon’s technology. Bloomberg estimates that Hyzon will be able to deliver at least 5000 FCEV trucks and buses by the year 2023.
Hyzon Motors to Build the First U.S-Based Commercial Scale MEA Production Line
Hyzon Motors is planning to build one of the largest fuel cell material production facilities in the United States. Hyzon will design, develop and manufacture the high-volume fuel cell Membrane Electrode Assembly (MEA) production line at the Hyzon Innovation Center near Chicago, Illinois.
The Membrane Electrode Assembly (MEA) is a significant part of a fuel cell, which works by triggering the electrochemical reaction needed to produce power. MEA makes up about 70% of the cost of a fuel cell stack.
At the moment, MEAs are produced at commercial scale in certain regions, which include Korea, Japan, China, Canada, as well as Europe.
Hyzon anticipates that the Hyzon Innovation Center facility will help get rid of key supply and cost bottlenecks, thus reducing costs associated with FCEV trucks manufactured in the United States.
Besides the Hyzon Innovation Center in Chicago, Hyzon also has facilities in Rochester, New York. One of the facilities operates as a fuel cell testing facility. The other facility, which is based at Hyzon’s U.S headquarters, serves as a fuel cell engine production facility, as well as a vehicle integration center.
Hyzon Motors to Merge with SPAC Decabornization Plus Acquisition (NASDAQ-DCRB)
Hyzon announced that it will become a publicly listed company by entering into a partnership with a Special Purpose Acquisition company known as Decarbonization Plus Acquisition Corp (NASDAQ:DCRB).
The deal between Hyzon and Decarbonization Plus Acquisition Corp (DCRB +6.6%) is one of the latest SPAC-driven investments. Investments in clean energy enterprises increased after Nikola Corp entered into a SPAC deal with VectoIQ Acquisition Corp. Even though Nikola did not have significant revenue, it was once valued at about $28.9 billion. However, the value of Nikola has now declined to $9 billion.
Hyzon anticipates that the SPAC deal will generate gross proceeds of about $626, which will be used to fund operations and growth. The deal values Hyzon and DCRB at $2. 7 Billion.
The proposed transaction is expected to end in the second quarter of 2021. However, its completion is subject to customary closing conditions, which shall include the approval of DCRB’s stockholders.
The underwriters will include institutional investors such as Riverstone Energy Limited, Wellington Management, Fidelity Management and Research Company LLC, Federated Hermes Kaufmann Funds, as well as BlackRock (BLK +2.8%). This list comprises of both new and existing investors.
According to the Chief Executive Officer and Co-Founder of Hyzon, Craig Knight, Hyzon is excited about their plans to open the first high-volume MEA production line for hydrogen fuel cells in the US. Craig and team anticipate that the plan will help them to swiftly scale up the production of their FCEVs.
Hyzon hopes to deliver close to 12,000 zero-emission heavy vehicles every year. Craig says, “We see a substantial uptake in Europe already, and anticipate North America will soon follow suit on this decarbonization journey for heavy transport.”
Craig also says, “We are excited to partner with DCRB at an important inflection point for our company, hydrogen and society.” Craig adds, “Deliveries of Hyzon fuel cell powered heavy trucks to customers in Europe and North America will occur this year, well ahead of our competitors, and our committed sales pipeline is proof that the world is truly recognizing the need to develop innovative solutions to mitigate climate change and accelerate efforts to move the world economy down the path to net-zero emissions.”
According to George Gu, the Co-Founder of Hyzon, the business combination will enable them to expand deployment to their zero-emission FCEVs globally. George Gu also thinks the business combination will enable them to continue leading the hydrogen transition.
In another statement, George Gu says, “We are incredibly excited about the dynamic mobility category as municipalities and Fortune 100 companies are rapidly embracing hydrogen as the essential pathway to a net-zero economy. “The number of countries cementing and then enhancing their national hydrogen strategies expand almost weekly, and we are extremely encouraged by both investor and public interest in the hydrogen economy.”
According to Robert Tichio, who is not only a partner at Riverstone Holdings LLC, but also the Chairman of the Board of DCRB, the agreement with Hyzon will be part of Riverstone’s 15 year-record of investing in businesses that seek to reduce carbon emissions.
Robert Tichio thinks Hyzon is a perfect match for their investment criteria because it is not only a differentiated, pure-play hydrogen-powered independent mobility company, but also an emerging leader in the trucking industry.
Robert Tichio also says, “When forming this investment vehicle our objective was clear: to identify a truly exceptional company that is decarbonizing the global economy, disrupting an established industry with the commercialization of innovative technologies, and is well aligned with ESG principles. We found that company in Hyzon.”
Hyzon anticipates that the Hyzon Innovation Center facility will start producing MEAs in the fourth quarter of 2021. The production space will be about 28,000 square feet, but it will be expanded to 80,000 square feet in phase two. Eventually, Hyzon anticipates having at least 50 full time personnel at this production facility.
According to the Chairman and Co-Founder of Hyzon, George Gu, the new Hyzon Innovation Center will be essential in their strategy to expand the United States hydrogen supply chain. George Gu also reiterates that the Hyzon Innovation Center will help reduce fuel costs for commercialization and create new jobs.
In another statement, George Gu says, “We chose the greater Chicago area due to its top-tier universities, national labs, equipment companies and manufacturers, and a large pool of talent for recruiting a highly-skilled workforce. We are looking forward to empowering this unique ecosystem so that we can further accelerate the energy transition and decarbonize heavy road transport.”
Erik Anderson, the Chief Executive Officer of DCRB, also reiterated, “After evaluating dozens of very promising low- carbon platforms, we are excited to announce our combination with Hyzon. Hyzon is a truly differentiated company that is accelerating and leading the hydrogen transition with captive, proven fuel cell technology and superior performance.
“We look forward to working with Craig and the entire team to help advance the company’s compelling mission for the environment, automotive industry and investors alike.”
Finished MEAs
Completed MEAs will be transported to Hyzon’s fuel cell stack and system assembly plant in Monroe County. The components will be assembled into complete fuel cells, which will then be transported to a partner truck manufacturer to be constructed into commercial heavy-duty vehicles.
Hyzon Motors main manufacturing partner is Berkshire Hathway subsidiary Fontaine Modification, which is based in the United States.
Research and Development
The Hyzon Innovation Center will also be used as a research and development center for various materials including materials for fuel cells, electrolyzers, solid-state batteries, advanced e-drive systems, green hydrogen production technologies, as well as autonomous driving technologies.
Hyzon Motors Leadership
Hyzon will remain under the same leadership. Craign Knight will still work in the capacity of Chief Executive Officer of the combined company. Craig’s role will include overseeing strategic growth initiatives and expansion. Craig will work together with Hyzon Motors current executive team. The Board of Directors will include representatives from Hyzon, as well as DCRB.
The boards of Hyzon Motors and DCRB have collectively approaved the merger.
Hyzon to be Listed in NASDAQ
Hyzon motors will most likely be listed on the NASDAQ. The listing, which will most likely take place in May or early June, will be under the ticker HYZN.
Hyzon Motors Contact Details
Hyzon Motors has its headquarters in the United States, but they also operate in various parts of the world. The team at Hyzon is available 24/7, and you can reach them on:
For U.S, Europe and Asia Media:
Brian Brooks
Vice President
H+K Strategies
713.858.8842
For Global Media Relations:
Fraser Beattie
Senior Consultant
Cannings Purple
fbeattie@canningspurple.com.au
For Investors:
Caldwell Bailey
ICR Inc.