Thermax Secures Global Licensing Deal with Ceres Power for Electrolysers
Key Ideas
- Thermax and Ceres Power entered a strategic partnership for manufacturing electrolysers, aiming for prototype development, a manufacturing plant, and large-scale deployment.
- Thermax opted for solid oxide electrolyser cell (SOEC) technology over other options like alkaline or proton-exchange membrane (PEM) due to its high efficiency and suitability for industrial decarbonisation in sectors like fertiliser, steel, refining, and petrochemical.
- Thermax hopes to secure a 10-20% market share in India's electrolysers market, which has the potential to reach $2-5 billion by 2030, driven by the company's understanding of heat management and global licensing agreement with Ceres Power.
- The company's market capitalisation has increased significantly, with a 71% rise in shares over the last year, indicating positive investor sentiment towards its strategic moves and growth prospects.
Thermax, a company based in India, has recently sealed a global licensing agreement with Ceres Power to manufacture electrolysers. The collaboration involves Ceres Power providing core technology to Thermax, enabling the development and sale of products worldwide. The partnership aims to progress from prototype development to establishing a manufacturing plant and expanding to a larger scale in the future. Thermax's Managing Director and CEO, Ashish Bhandari, highlighted the company's choice of solid oxide electrolyser cell (SOEC) technology due to its high efficiency, making it suitable for industries like fertiliser, steel, refining, and petrochemical in India. This decision aligns with Thermax's expertise in heat management. The agreement entails a nonexclusive global license, allowing Thermax to distribute the developed products globally. The company aims to capture a significant market share of 10-20% in India's electrolyser market, which is forecasted to grow to $2-5 billion by 2030. Despite uncertainties regarding evolving technologies, market dynamics, and competition, Thermax remains confident in its strategic direction. The company's market capitalization has notably increased, with a 71% rise in share value over the past year, indicating positive investor confidence in Thermax's future prospects.
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India
Partnership
Market Analysis
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Market Share
Technology Transfer
Revenue Potential
Competitive Advantage
Manufacturing Plant
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