Fusion Fuel Green PLC (Nasdaq: HTOO), a leader in green hydrogen and energy solutions, has successfully navigated a challenging period to emerge stronger, with a series of strategic moves aimed at ensuring long-term viability and growth. The company's recent 1-for-35 reverse stock split, effective July 14, was a critical step in regaining compliance with Nasdaq listing requirements, marking a significant milestone in its turnaround strategy.
Following the insolvency of its Portuguese subsidiary in 2024, Fusion Fuel made a bold move by acquiring a controlling stake in Quality Industrial Corp. and its operating unit, Al Shola Al Modea Gas Distribution LLC ('Al Shola Gas'). This acquisition is expected to contribute approximately $20 million in revenue by 2025, with Al Shola Gas already securing $7.4 million in new contracts since November and adding over 1,800 residential and two commercial service agreements, generating $0.9 million in recurring annual revenue.
In addition to bolstering its revenue streams, Fusion Fuel has taken steps to stabilize its capital structure, raising $2.58 million through convertible notes and securing a $25 million equity line. These financial maneuvers underscore the company's commitment to strengthening its foundation and supporting its ambitious growth plans.
Further expanding its footprint, Fusion Fuel agreed in May to acquire a UK-based fuel distributor for approximately £50 million. This acquisition, along with Bright Hydrogen Solutions Ltd. ('BrightHy Solutions') signing an agency agreement with Sungrow Hydrogen Sci. & Tech. Co. Ltd. to deploy electrolyzer systems in Iberia, highlights the company's strategic focus on diversifying its portfolio and enhancing its capabilities in the green hydrogen sector.
CEO John-Paul Backwell emphasized that these developments represent a clear path to creating long-term shareholder value, having addressed legacy issues and injected fresh capital into the company. With these strategic acquisitions and partnerships, Fusion Fuel Green PLC is well-positioned to capitalize on the growing demand for green hydrogen and energy solutions, making this news particularly relevant for investors and stakeholders in the renewable energy sector.
