Ceres Power Holdings: OEM Deal To Enter Multi-Kw CHP Market
Edison | Dec 19, 2016 06:09AM ET
Ceres Power Holdings (LON:CWR) has signed a Joint Development Licence Agreement with a leading global OEM for a multi-kW combined heat and power (CHP) product based on its Steel Cell technology. This is significant as it is the first deal where, subject to successful field trials, the partner has a planned intent to launch. It is also the first partnership targeting the commercial CHP market. The announcement underpins our estimates, which we leave unchanged.
Under the terms of the contract (announced 19 December), which covers a multi-year period, Ceres will receive stage payments during the joint development and field trial phases. On reaching the commercialisation phase, which is after our forecast period, Ceres will generate revenues from royalty payments and the supply of Steel Cell stacks. The agreement is the fourth partnership signed with a global OEM in a year (the others are with Cummins (NYSE:CMI), Honda and Nissan). It supports our estimates which show the level of customer engagement intensifying throughout the forecast period.
To read the entire report Please click on the pdf File Below
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.