Next Hydrogen Raises CAD20–30M to Scale NH150 Electrolyzer Production

Next Hydrogen Solutions Inc. is sprinting out of its R&D phase and gearing up for a commercial debut. They’ve kicked off a non-brokered private placement to raise CAD$20–30 million at CAD$0.45 a share. Toronto-based Smoothwater Capital Corporation is leading the charge—once the deal closes around November 28, 2025, Smoothwater will be Next Hydrogen’s largest shareholder, and their CEO, Stephen Griggs, will step in as Executive Chair. It’s a move designed to give Next Hydrogen the breathing room they need to scale up production lines and fine-tune quality control before diving head-first into the market.

A Strategic Leap for Green Hydrogen Production

For over a decade, Next Hydrogen has been pushing the envelope on alkaline electrolyzer design—dialing in stack performance, system integration and operating efficiencies. Now, as industries worldwide rush to decarbonize, the demand for green hydrogen is booming, and their NH150 electrolyzer is ready for prime time. This fresh round of funding will:

• Speed up manufacturing and sales of the NH150
• Wrap up development and testing on the larger NH500
• Boost working capital for broader market expansion
• Fuel ongoing R&D and general corporate needs

Dissecting the NH150 Electrolyzer

The NH150 is an alkaline electrolysis powerhouse built for industrial hydrogen production. It pushes renewable—or even intermittent—electricity through specialized electrodes to split water into hydrogen and oxygen, all while managing high current densities and precise temperature control. Here are the highlights:

• Modular stack design for quick, on-the-fly scaling
• Advanced catalyst coatings that boost efficiency by up to 10%
• Integrated control systems for rapid load-following and grid balancing
• Aimed at 150 Nm³/h output, ideal for mid-scale refueling stations and industrial end users

On the horizon, the NH500 targets 500 Nm³/h to meet the needs of ammonia plants, heavy-industry clusters and other large-scale hydrogen off-takers.

Business and Market Dynamics

Smoothwater Capital Corporation has a knack for shepherding Canadian tech companies into thriving, sustainable businesses. Their decision to back Next Hydrogen—and bring in Stephen Griggs as Executive Chair—brings a wealth of strategic know-how that could be instrumental in locking down offtake agreements and forging partnerships across North America, Europe and Asia. With a veteran at the wheel, Next Hydrogen is poised to navigate early hurdles and accelerate its commercial push.

The company’s capital-light model—lean supply chains, contract manufacturers and joint ventures—means they won’t be weighed down by hefty upfront costs. This approach lets them flexibly scale production and respond quickly to market demands, whether it’s a mid-sized industrial customer or a large ammonia producer.

This funding boost comes as electrolyzer manufacturers jockey for position in a market expected to top $15 billion by 2030. By focusing on both the mid-range NH150 and the larger NH500 systems, Next Hydrogen is carving out a unique niche between the megawatt-scale giants and the smaller, remote-unit players. That specialty sweet spot could give them an edge as demand for green hydrogen ramps up.

Ontario’s Role in the Hydrogen Economy

From its home base in Mississauga, Ontario, Next Hydrogen benefits from a robust provincial framework that champions industrial decarbonization and sustainable energy. Generous incentives—alongside a grid brimming with hydro, wind and solar power—create ideal conditions for electrolyzer deployment. As the province and its neighbours look to green hydrogen for heavy-duty transport and chemical feedstocks, Ontario could emerge as a hub for local manufacturing, spurring job creation and attracting fresh public and private investment to build out essential hydrogen infrastructure.

Looking Ahead: Industry Implications

When the deal closes, it won’t just be a win for Next Hydrogen; it’ll signal a major step forward for Canada’s hydrogen ambitions. The company has its sights set on 2026 milestones—nailing down initial orders, setting up dedicated manufacturing lines, and demoing their electrolyzers at partner sites, from industrial campuses to transport refueling stations.

Meanwhile, as more players enter the electrolyzer space, competition will heat up and innovation cycles will accelerate. We’ll likely see costs drop thanks to economies of scale, streamlined supply chains and tighter integration with renewable power sources. That cascade of improvements could make sustainable hydrogen production more economically compelling across sectors—from heavy-duty transport and chemicals to grid-scale energy storage.

“This financing is a pivotal step,” says Allan MacKenzie, Chair of Next Hydrogen. “With Smoothwater’s support and Stephen Griggs’s leadership, we can move confidently into commercialization.” Raveel Afzaal, President & CEO, adds, “Our mission is simple: deliver high-performance electrolyzers that make green hydrogen economically viable.”

With electrolysis technology and robust hydrogen infrastructure at the core of its strategy, Next Hydrogen is scripting a new chapter in Canada’s clean energy story—one where zero-emission ambition turns into reality.