Hydrogen Storage Startups Raise Significant Capital Despite Challenges

Universal Hydrogen’s recent collapse has cast a spotlight on the challenges facing hydrogen storage startups. Despite this setback, the top 10 hydrogen storage companies have secured significant venture capital funding, driving innovation in an industry critical to a sustainable future.

Universal Hydrogen’s Dream Crashes

Universal Hydrogen, which aimed to revolutionize hydrogen-powered flights with nearly $100M from investors like Playground Global and Toyota Ventures, has liquidated after failing to secure further funding. “Universal Hydrogen had a lofty mission,” stated a representative from Playground Global.

Top VC-Backed Hydrogen Storage Companies

1. FTXT Energy, Shanghai
   Founded in 2019 by Great Wall Motor Company, FTXT Energy spans the hydrogen energy industry, developing hydrogen-fueled trucks and EVs.
   Last Valuation: $626.6M (Dec 2021)
   VC Raised: $218.3M
   Investors: CS Capital, Virtue Capital
2. SHPT, Shanghai
   A spinout from SAIC Motor, SHPT produces fuel cell systems and hydrogen storage products.
   Last Valuation: $637M (Sept 2021)
   VC Raised: $135.8M
   Investors: Cathay Capital, China Chengtong Holdings
3. Hydrogenious LOHC, Germany
   Hydrogenious utilizes liquid organic hydrogen carriers for safe fuel cell mobility.
   Last Valuation: $633.1M (Sept 2021)
   VC Raised: $81.6M
   Investors: JERA Americas, Temasek
4. PowiDian, France
   Founded by an ex-Airbus researcher, PowiDian focuses on solid-state hydrogen storage power stations.
   Last Valuation: $54.8M (Jan 2023)
   VC Raised: $31.5M
   Investors: Xerys Invest, Bouygues Group
5. Steelhead Composites, USA
   Since 2012, Steelhead Composites has provided hydrogen storage for aerospace, mobility, and maritime sectors.
   Last Valuation: $58.8M (Oct 2023)
   VC Raised: $23.5M
   Investors: Sandusky Ventures, Sutton Capital
6. Zhongke Qingneng, China
   Based in Zhengzhou, this company develops cryogenic liquefied hydrogen technology.
   VC Raised: $22.1M
   Investors: CGN Capital Holding
7. HSL Technologies, France
   HSL Technologies, formerly HySiLabs, creates hydrogen-based liquid carriers for cost-effective transportation.
   Last Valuation: $32.1M (July 2023)
   VC Raised: $21.3M
   Investors: Equinor Ventures, Exolum
8. NanoSUN, UK
   NanoSUN, founded in 2017, builds distribution and mobile refueling equipment for hydrogen.
   Last Valuation: $52.9M (Dec 2021)
   VC Raised: $18.8M
   Investors: HydrogenOne Capital Growth
9. BayoTech, USA
   BayoTech offers hydrogen hubs with generators, transport, and storage solutions.
   Last Valuation: $34.5M (April 2018)
   VC Raised: $16.3M
   Investors: Cultivation Capital
10. Immaterial, UK
    A University of Cambridge spinout, Immaterial develops nanomaterials for gas storage and separation.
    Last Valuation: $40.8M (Sept 2023)
    VC Raised: $16M
    Investors: SLB Ventures, Chevron Technology Ventures

Universal Hydrogen’s downfall serves as a wake-up call for the hydrogen storage sector. The industry’s future hinges on securing substantial capital and continuous innovation. As the world shifts towards renewable energy, efficient hydrogen storage solutions are crucial for reducing carbon emissions and achieving energy sustainability. The startups leading in this space, despite facing significant challenges, are pivotal in driving the innovation needed for a cleaner, greener future. Their success is essential for the broader adoption of hydrogen as a reliable energy source.