Video: Ballard sells auto fuel cell assets, CEO says fuel cell cars are not dead
Ballard says they have finalized the rumored deal to sell their auto fuel cell unit, called Burnaby, which includes 113 employees (20 percent of the company's workforce). Ballard will sell the unit to Ford and Daimler for a swap of 34.3 million Ballard shares, worth $168 million and a new company will be formed. As we mentioned earlier today, the new auto fuel cell company will be owned 50.1 percent owned by Daimler, 30 percent by Ford and 19.9 percent by Ballard. Ford and Daimler will invest $60 million in the company with another $60 million investment from Ballard.
In the video above, Ballard president and CEO John Sheridan talks about shifting Ballard's focus from fuel cell for cars to back-up electricity systems, residential co-generation power supply and forklifts. Sheridan says fuel cells for cars are far out in the future and will cost a lot. In the video John is asked "does this mean the fuel cell vehicle dream is over?" John says "no, not at all. The fuel cell dream is very much alive and I think it's going to be a key part of all our futures." John continues, saying again that it's going to take a lot of money and time, like 8 to 12 years.
[Source: Bloomberg, YouTube]
Reader Comments (Page 1 of 1)
Kardax 4:54PM (11/08/2007)
The hydrogen fuel cell business has been saying it's 5-10 years away for decades. Now it's 8-12 years? I guess they're becoming somewhat more realistic...
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Chris M 3:16AM (11/09/2007)
Of course he had to paint a rosy picture for the future of H2 fuel cell vehicles - Ballard wouldn't get $168 million for that division if he admitted they would never be cost competitive.
This is a very good deal for Ballard, very bad deal for Daimler and Ford (but they don't realize it yet).
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Nils 2:22PM (11/09/2007)
Humm...when even they don't believe in it anymore...
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