Rusatom Overseas, a subsidiary of Rosatom State Corporation, will become a shareholder of TMH-Energy Solutions, under an agreement signed with Transmashholding (TMH) during the 24th St. Petersburg International Economic Forum held on 2–5 June 2021.
The two companies expect to close the deal by the end of 2021 subject to results of due diligence and assets evaluation.
Under the deal terms TMH will retain a majority stake in TMH-Energy Solutions, based on which the parties are considering to jointly pursue business in alternative fuels and energy solutions for transport, enhance product portfolio and imports substitution in diesel engine manufacturing, implement projects in distributed and backup power generation, develop the hydrogen energy infrastructure.
As a strategic partner and investor of TMH-Energy Solutions, Rosatom State Corporation would provide its support regarding the technological and industrial competencies of the nuclear industry and significantly expand its marketing channels and foreign sales.
“There is a growing demand for integrated energy solutions. That is why in 2020 TMH incorporated a dedicated entity bringing together respective assets for addressing requirements of the market. Its value creating potential has ensured interest and participation of our partners from Rosatom,” Kirill Lipa, CEO of TMH said.
Joining efforts of Rosatom State Corporation and Transmashholding will facilitate creating conditions for emerging a new energy pattern, strengthening technological sustainability of Russia and expanding its high-technology exports. Potential market volume for the envisaged joint business shall exceed RUB 200 billion (USD 2.72 billion) within the next decade.
“It is an important step for Rosatom towards development of new businesses. We see significant opportunities and joint prospects with Transmashholding, and we are committed for the future cooperation and implementation of advanced solutions for various sectors of the economy of Russia. Upon this, it is important that we are going to introduce and develop products which are currently not being made in our country,” Kirill Komarov, the First Deputy General Director for Global Business Development of Rosatom said.
Rusatom Overseas and TMH are currently developing a pilot project to introduce the hydrogen fuel cells technology on the rail passenger transport. The project is implemented under a framework agreement with Russian Railways and Sakhalin regional government.