Hexagon Purus, Hexagon Composites soar on truck battery pack deal

Hexagon Composites ASA

01/02/2022 10:00

** Shares of Hexagon Purus  HPUR.OL  soar 37%, on track for
their best day ever, after the Norwegian company was nominated
by a commercial truck OEM to supply battery packs for heavy duty
vehicles  urn:newsml:reuters.com:*:nL8N2UC1UX
    ** Hexagon Composites  HEX.OL , Purus' majority owner with a
73% stake, is headed for its best day since 2016 with a 16% rise
    ** Total sales for the initial contract period 2024-2027 is
estimated to be around $800 million, increasing to about $1.2
billion if extension option is exercised, the company says
    ** Carnegie attributes the share moves to the contract
nomination, saying it views the deal as a "major testament to
Purus' battery technology" 
    ** The broker adds the battery packs offer a great growth
potential in short-to-medium term, though it expects the
company's hydrogen adoption to take off in the second half of
the decade

 (Reporting by Marie Mannes)
 ((marie.mannes@thomsonreuters.com))