Norwegian hydrogen technology scaleup attracts investment from India’s leading sustainability VC

Trondheim-based hydrogen technology scaleup Hydrogen Mem-Tech has received funding from Peak Sustainability Ventures, based in India, and London’s AP Ventures. Peak’s investment, which secures them a 10.5% stake, is part of a €6.3 million (NOK 75 million) capital raising round that includes contributions from existing investors. The Trondheim-based company specializes in membrane technology for hydrogen extraction from natural and biogas, aimed at improving cost-efficiency and reducing carbon emissions. The new funding will be used to scale up production, enhance technology, and explore new markets, including potential expansion into India, where Peak sees opportunities to support the country’s energy transition.

Hydrogen Mem-Tech specializes in hydrogen separation technology developed from years of research on palladium membranes. Founded in 2017, the company focuses on extracting clean hydrogen from natural gas and biogas through a compact and cost-effective process. Their technology aims to facilitate the transition to sustainable energy, addressing the need for efficient hydrogen solutions. Supported by investors such as AP Ventures, Saudi Aramco Energy Ventures, and Shell Ventures, Hydrogen Mem-Tech completed its commercial production facility in 2023. The company emphasizes transparency, integrity, and sustainability in its operations, striving to contribute to a broader adoption of hydrogen as a clean energy source.

Peak Sustainability Ventures is one of India’s leading sustainability venture capital firms. The investment from Peak represents a significant milestone for Hydrogen Mem-Tech, which continues to grow its international presence and develop advanced hydrogen technologies.

The strategic investment from Peak is part of Hydrogen Mem-Tech’s capital raising round targeting up to NOK 75 million. Existing investors also participate.

Peak’s investment in Hydrogen Mem-Tech is based on the strong and trustworthy relationships built over the past 18 months. Peak backs innovative and deep tech early-stage companies addressing climate problems across four key pillars: New Energy, Water, Food Systems, and Climate Tech. Peak’s core investment strategy is to scale global climate technologies in India, and India-based technologies globally.

“Peak evaluated several other hydrogen companies before deciding to invest in us, which is a great testament to the potential they see in our technology. It’s exciting to see them choose a relatively small company in Trondheim, Norway as their next big investment,” says Hydrogen Mem-Tech CEO, Thomas Reinertsen.

“We are excited about our investment in Hydrogen Mem-Tech and firmly believe that their technology can be scaled globally and can play an important role in India’s energy transition,” says Samir Shah, Managing Partner at Peak. “While we develop cost effective solutions for green hydrogen, Hydrogen Mem-Tech’s membrane-based separation technology provides an effective solution to extract hydrogen from various gas streams and green ammonia applications at a significant cost and efficiency advantage, contributing significantly to achieving global sustainability goals. We are keen to scale this technology in India and globally. Together with Thomas and his team, we look forward to building a great company.”

Peak is managed by Samir Shah, one of the most successful sustainability investors in India, and Sanjay Nayar, a veteran in India’s private equity landscape.

Hydrogen Mem-Tech’s technology can be very useful for applications for petroleum companies and in steel annealing. Peak is keen to accelerate the hydrogen economy in India, piloting Hydrogen Mem-Tech’s technology and scaling it to address energy transition issues.

The new funding will support Hydrogen Mem-Tech’s plans to scale up operations, further develop the company’s hydrogen separator technology, and expand into new markets. India, which has committed to substantial emissions reductions, is a prime example of such market opportunities.

“With Peak as one of our partners, we now have a direct line to some of the largest companies in India, opening up even more opportunities for us globally,” says Reinertsen.

Samir Shah will join Hydrogen Mem-Tech’s board and will look to bring his understanding of the Indian ecosystem, strategic mindset, and skills in building early-stage companies to the fore through this partnership.

As part of its growth strategy, Hydrogen Mem-Tech will use the new capital to finance an ambitious business plan over the next 12 months, which includes developing a hydrogen separation unit with five times the current capacity. This innovation will target industries such as oil and gas, and steel production, where large volumes of hydrogen are needed.

“We are seeing more project opportunities than ever before, particularly in areas such as ammonia and methanol production, which are gaining traction as alternative fuels for the shipping industry,” says Reinertsen.

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