Yeah I think DeNora is one of their closest peers. Totally agree on the H2 business. Its highly political and especially in current times I wouldn't count on political decisions. Without the traditional business that gives me some feel of downside protection, I would never touch the company.
I’m a big fan of synthetic biology, and some of the biggest projects in SAF and other applications like animal feed ingredients use gas fermentation. Do you think ErreDue may play a role in this industry? How can they compare to some of the deep pockets like Linde?
Also curious if their software is a subscription based revenue generator? Or are they purely equipment vendor with not recurring revenue?
No ErreDue will not be working in such Biogas applications. They either produce industrial gas with small on site generators, or they will provide large elctrlolysers that produce H2 mainly with renewable energy from solar or wind. Maybe 2gEnergy from Germany is more interesting for you, these generators play a bigger role in biogas.
ErreDue has no subscription based revenues from software. They only have recurring revenues from their rental option and the after market (service and spare parts).
Thanks for the interesting write-up. I think DeNora is in a very similar position with their traditional Chlor-Electrolyzer and the Hydrogen business.
However, I do expect the H2 business to remain very tough for the next 2-3 years.
Yeah I think DeNora is one of their closest peers. Totally agree on the H2 business. Its highly political and especially in current times I wouldn't count on political decisions. Without the traditional business that gives me some feel of downside protection, I would never touch the company.
I’m a big fan of synthetic biology, and some of the biggest projects in SAF and other applications like animal feed ingredients use gas fermentation. Do you think ErreDue may play a role in this industry? How can they compare to some of the deep pockets like Linde?
Also curious if their software is a subscription based revenue generator? Or are they purely equipment vendor with not recurring revenue?
No ErreDue will not be working in such Biogas applications. They either produce industrial gas with small on site generators, or they will provide large elctrlolysers that produce H2 mainly with renewable energy from solar or wind. Maybe 2gEnergy from Germany is more interesting for you, these generators play a bigger role in biogas.
ErreDue has no subscription based revenues from software. They only have recurring revenues from their rental option and the after market (service and spare parts).