Element 2, the provider of hydrogen infrastructure for commercial fleets in the UK, has entered into a non-binding agreement with Pineapple Power Corporation, a special purpose acquisition company listed on the Standard Market of the London Stock Exchange (LSE: PNLP), for the acquisition of 100% of the outstanding shares in Element 2 in an all-share transaction.
Element 2’s growth plans have received a significant boost with the proposed acquisition by Pineapple Power, a renewable energy and capital markets company. The acquisition will enable Element 2 to rapidly expand its network of hydrogen refueling stations and support its ambitious growth plans, accelerating the UK’s transition to net-zero road transport. The company currently operates five hydrogen refueling locations across the UK and is in the process of building two permanent public refueling stations along the M6 and A1(M) motorways.
“We are excited to join forces with Pineapple Power, who share our vision for the rapid decarbonisation of UK road transport,” explained Element 2’s founder and CEO, Tim Harper. “With their support, we can expand our network of hydrogen refueling stations, reaching more customers and supporting the growing number of hydrogen-powered HGVs, vans, buses, refuse vehicles and cars arriving on UK roads.”
With Element 2’s expertise in hydrogen and refueling infrastructure and Pineapple Power’s deep experience in renewable energy and capital markets, the two companies are well-positioned to lead the charge towards a sustainable, low-carbon future.
Dr Graham Cooley, M&A Advisor to Pineapple Power, highlighted the crucial role heavy-duty road transport will play in the UK’s decarbonisation goals. “Transport accounts for around one-fifth of global CO₂ emissions of which 20% comes from trucks carrying freight. Vehicles using batteries or hydrogen fuel cells instead of diesel engines will need to make up most of new truck sales by 2040 under government plans to reduce CO2 emissions from medium and heavy-duty vehicles. As these sales build in the coming years, it becomes imperative that the refuelling infrastructure necessary to service this growing demand needs to be implemented, commencing immediately.”
“We are delighted to have agreed heads of terms on this potential acquisition,” said Claudio Morandi, Chairman of Pineapple Power. ”During the past few months, we have reviewed numerous projects and believe the proposed acquisition meets our stated objective of identifying a potentially extremely valuable entity involved in the renewable energy sector and clean and green technologies.”