Green Hydrogen Systems A/S has announced key financial updates, including the completion of a capital reduction and the agreement of a short-term loan facility of DKK 80 million to support operations through March 2025. These steps form part of the company’s strategic preparations to raise additional capital and secure its financial stability.
Capital Reduction Completed
The company has finalized a reduction in its nominal share capital, lowering it to DKK 1,877,339.02, with each share now holding a nominal value of DKK 0.01. This adjustment aligns with Green Hydrogen Systems’ plans to strengthen its capital base in preparation for future fundraising efforts.
Short-Term Loan Agreement
To ensure sufficient funding for ongoing operations:
- A.P. Moller Holding (APMH Invest A/S) and Arbejdsmarkedets Tillægspension (ATP)—two of the company’s largest shareholders and lenders—have provided a subordinated fixed loan facility of DKK 80 million, maturing on June 30, 2025.
- Existing lenders have also granted a covenant waiver for outstanding loans, subject to certain conditions.
This financial support enables the company to pursue its commercial objectives, including securing the first orders for its HyProvide X-Series electrolysers, anticipated in early 2025.
Positioning for Growth
René Umlauft, CEO, appointed in November 2024, has actively engaged with key customers and prospects to advance discussions on the X-Series. Although no firm orders have been confirmed, negotiations are progressing, with the first contracts expected in early 2025 and deliveries planned for late 2025 and early 2026.
Planned Rights Issue in 2025
Green Hydrogen Systems intends to launch a rights issue to raise at least DKK 300 million in March or April 2025, offering existing shareholders pre-emptive subscription rights. Both A.P. Moller Holding and ATP have expressed preliminary interest in participating, contingent on the company achieving commercial traction with the X-Series.
Specific terms for the rights issue will be announced closer to its initiation. However, the company cautions that the launch and completion of the rights issue remain subject to final decisions and market conditions.
Operational Improvements on Track
The company’s cost-out program and operational cost reduction initiatives are progressing as planned. Updates on cost savings, associated one-off expenses, and additional financial details will be shared alongside the 2024 Annual Report or in connection with the rights issue in March 2025.
Confidence in Green Hydrogen Market
Despite near-term challenges, Green Hydrogen Systems remains optimistic about its role in the growing hydrogen economy. The company’s proactive financial measures, combined with its innovative X-Series technology, position it as a key player in driving the adoption of green hydrogen solutions globally.
