Shares of hydrogen power firm AFC Energy (LON: AFC) are gaining on Friday after the company announced ABB Schweiz AG will make a strategic investment in the company to strengthen their corporate partnership.
ABB will invest £3.25 million into AFC Energy as a strong signal of corporate commitment across the international e-Mobility market., the company said.
Dutco Group, a Dubai-based firm, has also invested £1.5 million, subscribing for 7.36 million new shares.
AFC has also placed approximately 46.9 million new Ordinary Shares with institutional investors in a bid to raise £30.25 million.
The newly issued shares, including subscription shares, are priced at is 64.5p, which represents a discount of approximately 5% to the closing mid-market price of 68p per Ordinary Share on 15 April 2021.
ABB’s investment follows the signing of commercial and product development agreements in December, focussing on the design and engineering of an integrated high power EV charging systems powered by AFC Energy fuel cells.
ABB and AFC Energy have now signed a new agreement to extend their partnership to include the global data centre market.
“AFC Energy continues to validate its proposition in the off-grid power market, and through high-quality international partnerships with ABB and Dutco, the strategic investments they make into our Company, and the continued support of our investors, we are increasingly well-positioned to successfully deliver on this growing market,” said Adam Bond, CEO of AFC Energy.
Afc Energy’s share price is currently up 6.4% at 72p per share following the announcements.
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