McPhy Energy, once a prominent name in the European electrolyzer market, is moving towards a court-supervised asset sale followed by judicial liquidation, after failing to attract a solvent investor or acquirer.
The announcement, made on May 14, marks a sharp fall for one of France’s key players in the green hydrogen equipment sector, underscoring the financial pressures facing electrolyzer manufacturers amid a challenging commercialization environment.
The collapse follows the conclusion of a formal conciliation process that began in April 2025, in which McPhy and an appointed conciliator invited bids for a potential full or partial takeover. While a number of proposals were received, none offered a viable path forward for the company as a going concern. The firm now anticipates that only a portion of its activities and assets will be taken over under a judicially approved sale plan. The remainder of the company—including any assets not acquired—will enter into judicial liquidation.
According to McPhy’s statement, the liquidation will result in the delisting of its shares from Euronext Growth Paris, with no expected value left for shareholders. The anticipated proceeds from asset realization are unlikely to cover outstanding liabilities, implying the liquidation will be closed due to asset insufficiency—an outcome that leaves investors with no recourse for recovery.
Founded in 2008 and backed in recent years by both public funding and corporate partners, McPhy had positioned itself as a key European manufacturer of alkaline electrolyzers, offering turnkey hydrogen production systems for industrial decarbonization, mobility, and energy storage. The company operated engineering and production centers in France, Germany, and Italy, and had long touted its ambitions to scale electrolyzer output to multi-megawatt levels to meet the EU’s green hydrogen targets.
However, McPhy’s financial distress reflects wider industry challenges. Electrolyzer manufacturers across Europe have struggled with delayed orders, fragmented demand, and slower-than-expected subsidy disbursements. In its most recent financial disclosures, McPhy reported persistent losses and rising costs related to scaling production and R&D efforts—costs that were not matched by incoming revenue.
Despite its early-mover advantage and industrial partnerships, McPhy has been overtaken by larger, more vertically integrated players such as Nel, ITM Power, and Thyssenkrupp Nucera, who have leveraged strategic alliances and capital infusions to weather the sector’s volatility. Meanwhile, McPhy’s inability to convert pipeline interest into firm orders or to secure long-term financing has ultimately proved unsustainable.
The judicial sale plan now underway may allow for select McPhy technologies or business units to continue under new ownership. The company noted that these discussions are ongoing and subject to conditions. However, the scope of any salvageable business remains unclear.
In the months ahead, stakeholders across the green hydrogen value chain will closely watch whether any of McPhy’s core assets—intellectual property, manufacturing capabilities, or project references—are absorbed into larger players’ portfolios.
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