Hydrogen Vehicle Systems (HVS), the Glasgow-based start-up hydrogen truck builder, has been forced to reduce its operations while seeking to complete a crucial financing round, Freight Carbon Zero (FCZ) has learnt.
The Glasgow-based company, which has received approximately £11 million in taxpayer-funded grants for the development of a new hydrogen-powered truck, has made several redundancies and scaled back operations as it works to secure additional investment. The company’s managing director Ian Palmer has stepped down, with the termination of his directorship listed as 21 October, according to Companies House records.
FCZ has had it confirmed from several sources that the company is not closing its doors but is just running ”slimmer operations” until it completes its financing round which it hopes should be “in the coming weeks”.
A former senior employee told FCZ: “There are three very serious funders looking in detail at HVS at the moment.”
“We were told that they had to terminate our contracts due to not meeting the funding required to keep us,” another former employee told FCZ. “I do believe they will bounce back once they get the funding they need.”
Under Khursheed’s leadership, HVS has achieved several milestones, including securing its first patent and completing an Innovate UK funded feasibility study. The company has also won a second grant to develop a hydrogen-powered ambulance and has built relationships with suppliers and potential end-users, with customer trials of HVS vehicles due to commence from 2025.
*This is a developing story and Freight carbon Zero will provide updates as more information becomes available.*
