Future Growth Engine

The ClearEdge Power production facility in Hillsboro, Oregon. (Photo by M.O. Stevens via Wikimedia Commons)
The ClearEdge Power production facility in Hillsboro, Oregon. (Photo by M.O. Stevens via Wikimedia Commons)

 

The Doosan Group is focusing on the fuel cell business as one of its future growth drivers.

The company merged with Fuel Cell Power, a local home-use fuel cell provider, on July 10 and announced on July 21 that it launched Doosan Fuel Cell America by acquiring the assets and operating liabilities of ClearEdge Power at a cost of US$32.4 million. ClearEdge Power is an American company that owns original fuel cell technology for buildings.

Doosan is anticipating a huge synergy effect on the technology and marketing sides alike from the M&A deals that brought it a full line-up of fuel cell technologies. Specifically, ClearEdge Power is expected to be a boon to its business in the United States an in Korea as a tool for responding to the obligatory supply of new and renewable energy. In addition, the sharing of the technical and R&D know-how of both companies is predicted to lead to higher competitiveness. ClearEdge Power recorded approximately 70 billion won (US$68.2 million) in sales last year.

In the meantime, the building, housing and industrial segments of the global fuel cell market is estimated to grow from 1.8 to 5 trillion won (from US$1.7 to 4.8 billion) between last year and 2018. The size is forecast to reach 40 trillion won (US$38.9 billion) by 2023, with an annual growth rate amounting to 30 percent.

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