Plug Power to Acquire Cellex Power Products

16 March 2007

Plug Power Inc., a provider of stationary fuel-cell power systems, will acquire Cellex Power Products Inc., a provider of fuel-cell power solutions for industrial vehicles, in a US$45 million cash transaction.

Since its inception in 1998, Cellex Power has been developing Proton Exchange Membrane (PEM) fuel cell power units for electric lift trucks and is targeting the estimated US$1.5 billion industrial motive battery market.

Cellex Power has focused its initial product initiatives on class 3 electric lift trucks, often referred to as “pallet trucks,” that are the predominant equipment used to transport goods within large distribution centers. The company’s product strategy is to develop a full product portfolio addressing all three classes of electric lift trucks, enabling complete conversion of distribution centers and maximizing customer benefit.

In November 2006, Cellex successfully completed beta testing of its zero-emission, hydrogen fuel cell power units in pallet trucks at two Ohio-based Wal-Mart distribution centers. (Earlier post.)

The Cellex trucks in the Wal-Mart trials were based on the Ballard Mark 9 4.8 kW fuel-cell stack. Ballard was associated with the Wal-Mart trials. Ballard originally developed the Mark 9 fuel cell for automotive applications, but it can be configured for motive or stationary power applications. Stacks are available in power increments from 4 kilowatts to 21 kilowatts.