S. Korea's Doosan acquires U.S. fuel cell maker
By Kim Eun-jung
SEOUL, July 21 (Yonhap) -- South Korea's Doosan Co. acquired U.S.-based fuel cell maker ClearEdge Power Inc. for US$32.4 million in a bid to expand its business in the renewable energy market, the company said Monday.
The holding company of Doosan Group said in a regulatory filing that the decision is aimed at "establishing a U.S. subsidiary to tap into new businesses and develop a new growth engine."
The ClearEdge Power, which reported a revenue of about $68 billion last year, makes stationary fuel cells that use natural gas to produce energy.
The latest move comes after Doosan earlier this month acquired Fuel Cell Power Inc., a South Korean fuel cell maker for residential use, to reorganize its energy sector. Established in 2001, Fuel Cell Power posted 17 billion won ($16.5 million) in sales last year.
With the acquisition of the two companies, Doosan vowed to develop its fuel cell business to handle growing demand for clean energy in the nation.
"Doosan will develop fuel cell business into its main growth engine by combining the two companies' technologies, as well as Doosan's business capacity to create synergistic effects and focus on research and development," said Park Yong-man, chief executive of Doosan Group.
South Korea is one of the world's fastest growing fuel cell markets as it lacks natural resources while it has access to hydrogen and syngas, or synthetic gas, that are byproducts of the large chemical and refinery industry.
According to global market researcher MarketsandMarkets, the fuel cell technology market was worth of $629.8 million in 2013 and it is expected to reach about $2.5 billion by 2018.