Berlin-based green energy start-up HH2E AG has announced it will enter self-administered insolvency proceedings after failing to secure the necessary funding for its green hydrogen project near Germany's Baltic Sea coast.
This decision comes after Foresight Group, the majority shareholder through its investee Foresight Hydrogen HoldCo GmbH, decided against providing the additional financing needed to advance the project.
Despite proactive restructuring plans, HH2E and its subsidiary HH2E Werk Lubmin GmbH initiated insolvency proceedings as an alternative path to maintain operational continuity.
Under the self-administration approach, HH2E's management retains control over business operations during the insolvency process, with oversight from a court-appointed insolvency monitor.
The flagship Lubmin project is central to HH2E's ambition to establish a scalable green hydrogen infrastructure across Germany. The plant is set to begin with an initial capacity of 100 MW and has the potential for future expansion to 1 GW per site. HH2E aims to reach 4 GW of green hydrogen capacity in Germany by 2030, aligning with Germany's clean energy targets.
While HH2E searches for new investment, CEO Alexander Voigt reaffirmed the company's commitment to continuity as it seeks long-term solutions to secure project viability.
The situation reflects broader challenges in the hydrogen sector, where projects face hurdles from sluggish demand growth, elevated costs, and regulatory complexities.
