CMA CGM invests in clean hydrogen infrastructure fund

CMA CGM has joined what is said to be the world’s first and largest infrastructure fund to invest exclusively in the entire clean hydrogen value chain.

Fund manager Hy24 Partners, a joint venture between clean hydrogen investment firm FiveT Hydrogen and European private equity firm Ardian, has closed €2bn ($1.94bn) of allocations with CMA CGM as a new key industrial investor.

The fund, launched a year ago with a number of high-profile founding anchor investors such as Air Liquide, VINCI Concessions, TotalEnergies, Plug Power, Chart Industries and Baker Hughes, is focused on scaling up hydrogen technologies. It has also attracted more than 50 prominent investors from 13 countries, including Lotte Chemical, Airbus, Snam, AXA, Crédit Agricole Assurances and others.

The aim is to commit the €2bn fund capital within the next six years through a portfolio of projects across Europe, the Americas and Asia, with a focus on upstream projects such as renewable and low-carbon hydrogen production and downstream projects such as refuelling stations.

In addition, the fund closed with new key financial investors, Border to Coast Pensions Partnership, Nuveen, ERAFP, Groupama, Société Générale Assurances, BBVA and Norinchukin.

In 2020, CMA CGM joined forces with Energy Observer to make hydrogen one of the potential fuels. Earlier this year, the partners, including LMG Marin, Ayro, Air Liquide, and Bureau Veritas, took a new step forward by working together on a prototype intra-regional container ship fueled by liquid hydrogen.

The Marseille-based company in September announced a $1.5bn special fund for energies to support the industrial production of new fuels as well as low-emission mobility solutions across the group’s business base, including maritime, overland and air freight shipping; port and logistics services; and at its offices.

Cash-rich CMA CGM has also decided to spend some of its mega profits to equip over 270 ships with the container fire-fighting tool HydroPen, produced by Denmark-based Viking Life-Saving Equipment. Viking will also be supplying the same system to Maersk’s entire fleet.