HPQ Silicon is proposing a new structure to move its North American battery activities toward commercial operations. The objective: attract capital into a dedicated U.S. company, recruit experienced management and build manufacturing capabilities while retaining a majority ownership interest for HPQ.
Through a strategic consulting agreement with Open Markets L.L.C-FZ, HPQ is advancing Project ENDURA, the working name for the proposed business. Under the contemplated structure, HPQ would contribute specified North American battery rights and commercial agreements in exchange for US$4.2 million in cash, an expected 55% equity interest following the initial financing, and a royalty on defined NewCo net revenue. The initial financing is targeted at approximately US$20 million.
WHAT YOU NEED TO KNOW
- Dedicated U.S. Business: Project ENDURA would establish a standalone platform to finance, develop and commercialize HPQ’s North American battery activities.
- Majority Ownership Expected: HPQ would retain an expected 55% interest following the contemplated initial financing, alongside US$4.2 million in cash consideration and a royalty on defined NewCo net revenue.
- Capital For Commercial Development: The financing target of approximately USD 20 million includes an anticipated investment of at least USD 8 million in production equipment and manufacturing capabilities. Allocations remain preliminary.
- Other Activities Retained: HPQ’s existing Novacium equity interest, North American clean-hydrogen licences and fumed silica project would remain outside the contemplated transaction.
- Potential U.S. Listing: The parties are evaluating a possible future U.S. public listing, subject to financing, market conditions and applicable regulatory and exchange requirements.
STRATEGIC IMPLICATIONS
For an emerging battery business, developing technology and financing commercial operations require different resources. Project ENDURA is intended to bring dedicated leadership, operating capabilities and third-party capital into one company focused on the North American market.
HPQ has principally funded battery development at the parent company level. The proposed structure would shift commercial financing toward NewCo, with the objective of reducing reliance on additional HPQ common share issuances. That does not eliminate potential HPQ dilution: the company expressly notes that it may require additional financing for its retained activities.
The proposed ownership structure would preserve HPQ shareholders’ indirect participation in the North American battery business. Cash consideration and a royalty would provide additional components of the contemplated transaction, while HPQ’s retained activities would remain outside it.
Open Markets would assist with transaction structuring, executive recruitment, operational setup, commercial development and financing coordination. Its partners and advisers bring prior experience at institutions including J.P. Morgan, Credit Suisse and Bank of America Merrill Lynch. These credentials reflect previous professional roles and do not represent financing commitments to Project ENDURA.
The search for a CEO, CFO and other executives has commenced, although no appointments have been announced. Under the contemplated governance structure, HPQ CEO Bernard Tourillon would chair NewCo’s board, with a dedicated management team responsible for day-to-day operations.
CEO BERNARD TOURILLON
“Our immediate focus is execution: establishing production capabilities, developing customer relationships and building a sustainable business.”
INVESTOR TAKEAWAY
Project ENDURA could give HPQ’s North American battery activities a dedicated route to commercial development, supported by separate financing and management while preserving an expected majority interest for HPQ.
The immediate milestones are establishing NewCo, finalizing the rights and commercial agreements to be contributed, recruiting leadership and securing the proposed financing. A potential U.S. listing remains a future strategic alternative.
All proposed financial terms remain indicative and subject to change. There is no assurance that the transaction or financing will close, that commercial scale will be achieved or that a U.S. listing will occur.
For investors, the next meaningful development is whether HPQ and Open Markets can translate the proposed structure into a funded business with the leadership, production capabilities and customer relationships needed to execute.
Last modified: October 19, 2026
