Ballard, VW ink $80m fuel cell IP, engineering deal
Specialised energy products provider Ballard Power Systems has entered into a technology solutions transaction with automotive manufacturer Volkswagen (VW) for the transfer of automotive-related fuel cell intellectual property (IP), as well as a two-year extension of an engineering services contract.
The first portion of the deal would see Ballard transferring the automotive-related portion of fuel cell IP assets previously acquired from United Technologies Corporation, in return for payments from VW totalling $50-million, the majority of which was expected to be received at the closing of the transaction in the current quarter.
Ballard would receive the balance of payment in early 2016.
The company would, meanwhile, retain a royalty-free licence to use the IP transferred to VW in bus and nonautomotive applications, as well as for certain limited precommercial purposes in automotive applications.
The transaction also included a two-year extension, through to March 2019, of the existing long-term engineering services agreement for the design and manufacture of next-generation fuel cell stacks signed by Ballard and VW in 2013.
This extension had an incremental value estimated at between $24-million and $40-million.
Over the full six years, the contract had an estimated value of between $80-million and $112-million and included a further optional two-year extension.
VW technical development coordinator Professor Ulrich Hackenberg said the group’s automotive fuel cell patent portfolio, together with the combined fuel cell skills and expertise of VW and Ballard, would underpin the company’s ability to play a leading role in fuel cell automotive development and commercialisation.
Commenting on the entire transaction, Ballard president and CEO Randy MacEwen said the deal extended and deepened the group’s relationship with VW.
“The IP transfer surfaces significant value for Ballard, while the extension of the engineering services contract reflects a growing positive sentiment toward fuel cells within the automotive sector, along with the outstanding progress made, to date, in our work with VW on its fuel cell car programmes,” he commented.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation