Canadian gas purification solutions provider Xebec Adsorption Inc (CVE:XBC) is to pay EUR 82 million (USD 99m) to acquire Netherlands-based hydrogen specialist HyGear, the target company said on Tuesday.
As part of the deal, Xebec Europe will acquire HyGear's parent company, Green Vision Holding, for EUR 42 million in cash, while the rest will be in the form of shares in Xebec.
The acquisition will bring together Xebec's expertise in renewable natural gas and HyGear's hydrogen generation technologies. The combined entity will also have a wider market reach and potential for significant product and sales synergies, according to the statement.
"Our businesses are highly complementary which places us in a strategic position in the hydrogen economy. Together with Xebec, HyGear will be able to accelerate further growth and create opportunities for our customers, business partners and personnel worldwide," HyGear CEO Marinus van Driel commented.
The deal, which needs to receive regulatory approval and meet customary closing conditions, is expected to be finalised on or about December 30.