Hydgen’s Breakthrough in On-Site Green Hydrogen
Mangalore-based deep-tech startup Hydgen has raised $5 million in pre-Series A funding, led by Transition Venture Capital, with participation from Cloudberry Pioneer Investments (Europe), Moringa Ventures (Singapore), and several family offices from India and Singapore.
Hydgen focuses on developing on-site green hydrogen generation systems powered by its proprietary Anion Exchange Membrane (AEM) electrolyser technology. This innovation enables industries to produce hydrogen directly at the point of use, reducing costs, transport risks, and emissions — a major step towards decentralised energy solutions.
Funding Breakdown: Where the Capital Will Go
The newly secured investment will help Hydgen transition from R&D to commercial scaling. The funds will be channelled into:
- Advancing R&D and product certification to ensure global compliance standards.
- Automating production lines — upgrading from manual to semi-automated assembly for higher consistency and scalability.
- Expanding market presence across India, Southeast Asia, and the Middle East, targeting industrial and energy clients.
This marks a crucial phase for Hydgen as it prepares for industrial-level deployment of its AEM electrolyser systems.
Investor Perspective: Strong Confidence in Hydrogen Tech
Mohamed Shoeb Ali, Managing Partner at Transition Venture Capital, highlighted:
“Hydgen is the first team we’ve seen capable of scaling AEM electrolysers to true industrial levels while maintaining cost leadership.”
The participation of international investors underscores growing confidence in India’s clean-energy innovation ecosystem.
Market Context: Why Hydrogen Matters Now
Hydrogen is increasingly viewed as a cornerstone of the global clean-energy transition, particularly for heavy-industry, steel, refining, and mobility sectors that are difficult to electrify directly.
Hydgen’s decentralised production model offers strategic advantages:
- Eliminates dependency on hydrogen transport and storage.
- Lowers operational costs and emissions.
- Increases energy security for industrial players.
The Indian government’s push through a ₹100 crore Green Hydrogen Innovation Fund earlier this year further strengthens the ecosystem for startups like Hydgen.
Strategic Expansion Across Emerging Markets
Hydgen plans to establish partnerships and pilot projects in India, Southeast Asia, and the Middle East — regions with accelerating industrial decarbonisation goals.
These markets offer a mix of policy incentives, renewable-energy infrastructure, and industrial demand that make them ideal launchpads for Hydgen’s commercial rollout.
What to Watch Next
Hydgen’s next steps will determine how quickly it can move from pilot success to market leadership. Key developments to watch include:
- Industrial deployment and validation of AEM electrolyser performance.
- Commercial partnerships or offtake agreements with manufacturing and energy companies.
- Scaling production capacity to meet demand while maintaining cost efficiency.
- Continued government incentives supporting hydrogen adoption in Asia and the MENA region.
The Road Ahead for Green Hydrogen Startups
Hydgen’s funding success represents more than a single company milestone — it signals a shift toward decentralised hydrogen ecosystems across emerging markets.
As clean-tech investors double down on energy independence and sustainability, Hydgen’s scalable, on-site modelpositions it as a frontrunner in the next generation of hydrogen innovators.
Editor’s Note — From the Startups MENA Team
At Startups MENA, we remain committed to highlighting the visionaries driving the region’s clean-energy transformation. Hydgen’s breakthrough in scalable green hydrogen generation is more than a funding success — it signals a turning point in how emerging markets are building climate resilience through technology.
By engineering hydrogen production that is both on-site and economically viable, Hydgen embodies the kind of innovation that bridges industrial growth and environmental responsibility. Its work with AEM electrolyser technology is not just a technical achievement; it’s a statement that sustainability and scalability can coexist.
As investors and entrepreneurs across the Middle East and South Asia increasingly converge around energy transition, deep tech, and climate-focused innovation, Hydgen’s trajectory reinforces a defining theme: the next generation of startups in this region will not only drive profitability — they will power the planet.
— The Startups MENA Editorial Team
