It’s A Green Light For ThyssenKrupp’s Green Listing Plans

It’s A Green Light For ThyssenKrupp’s Green Listing Plans
Daniel Johnston

9 months ago2 mins

Mentioned in story

What’s going on here?

German industrial firm ThyssenKrupp gave plans to publicly list its green hydrogen business an emission-free green light on Monday.

What does this mean?

There have long been mutterings – presumably laced with plenty of mispronunciation – that ThyssenKrupp would list Nucera, its hydrogen business. And this one’s a biggie: Nucera makes electrolyzers, a type of tech that produces hydrogen without the dirty emissions. That’s got the potential to decarbonize emission-heavy industries like steel and chemical-making – and the US and European governments are well aware, both boasting legislation that favors the green tech. ThyssenKrupp’s hoping the listing will raise around $650 million from other admirers too, enough to spur on investment and cement Nucera as a leading electrolyzer supplier.

Why should I care?

For markets: Investors love mone– sorry, the planet.

A successful listing could signal a turnaround for ThyssenKrupp, after a rough few years for the flailing industrial giant. So far, there’s plenty of promise: hydrogen tech could fuel the broader green transition, and development’s still only in its baby stages. Investors seem sold: they’ve sent ThyssenKrupp’s shares up 24% this year in anticipation of the listing, and you can bet any investors looking for “pure-play” green hydrogen investments will snap up Nucera too.

ThyssenKrupp stock
Source: Google Finance

The bigger picture: It’s what’s inside that counts.

If you’re unconvinced, just take a look at EVs. Their fuel may be better for the environment, sure, but their bodies are made of all the same bits as their gas-guzzling equivalents – and a lot of carbon goes into making all that metal. So for starters, green hydrogen could clean up the steelmaking industry’s act. And for entrées, the sector’s top dogs are serving up social responsibility: reports out Monday showed that Rio Tinto and China Baowu Steel – the world’s biggest iron ore miner and top steel producer respectively – have signed an agreement to explore more green solutions in one of the world’s most polluting industries.

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