Ineos Energy announced it has agreed to buy 25 million shares in the forthcoming IPO of HydrogenOne Capital Growth plc, representing 10% of the target fund raise of £250 million.

Ineos said it will have the right to appoint a non-executive director to the board of HydrogenOne Capital Growth and will have co-investment rights in projects identified by the fund.

Ineos said it is already Europe’s largest producer of hydrogen.

HydrogenOne Capital Growth Plc will be the first London listed fund dedicated to clean hydrogen for the energy transition towards net zero carbon emissions by 2050.

“HydrogenOne is expected to qualify for the London Stock Exchange’s Green Economy Mark at admission, which recognises companies that derive 50% or more of their total annual revenues from products and services that contribute to the global green economy,” said Ineos.

“HydrogenOne will predominantly invest in private hydrogen assets, and also include hydrogen focussed listed assets from global markets.”

Ineos Energy executive chairman Brian Gilvary said: “The INEOS investment in HydrogenOne will help to accelerate and diversify Ineos’ existing clean hydrogen strategy.

“It marks the beginning of another substantial and long-term partnership, opening new windows into the clean hydrogen world for Ineos.

“It presents an important opportunity for our businesses as the market for clean hydrogen unfolds.”

HydrogenOne chairman Simon Hogan said: “HydrogenOne is the first of a kind. We welcome Ineos’ investment in the company and we are looking forward to expanding our collaboration.”