Fortescue Future Industries is the talk of the ASX today, but market watchers may be disappointed to learn they can’t invest directly into the company.
However, there is a way to get a slice of Fortescue Future Industries in your portfolio. Though, it involves buying its parent company, Fortescue Metals Group Limited (ASX: FMG).
At the time of writing, an investor can get their hands on a share in Fortescue Metals for $14.60. That’s 2.46% higher than the company’s stock’s previous closing price.
The Fortescue Metal share price has potentially been boosted by news of Fortescue Future Industries’ new hydrogen investment.
Buying into Fortescue Metals would mean indirectly investing in Fortescue Future Industries’ newly announced Global Green Energy Manufacturing Centre.
The first stage of Global Green Energy Manufacturing Centre will create Australia’s first multi-gigawatt-scale electrolyser factory. Electrolysers can remove hydrogen from water and, if run on renewable energy, can produce ‘green’ hydrogen – a zero-carbon fuel source.
Of course, investing in Fortescue Metals means investing in all aspects of Fortescue Metal’s business, not just Fortescue Future Industries.
Let’s take a closer look at Fortescue Future Industries and how the business is related to Fortescue Metals.
How to invest in Fortescue Future Industries on the ASX
ASX investors might be overjoyed to find there is a way to get a slight holding in Fortescue Future Industries.
To do so, one can invest in Fortescue Metals, the world’s fourth largest iron ore producer.
Fortescue Metals is Fortescue Future Industries’ parent company.
According to Fortescue Metals, its subsidiary is the face of its hydrogen-powered ambitions and a key component in its plan to reach carbon neutrality by 2030.
Fortescue Future Industries is working to establish a portfolio of renewable hydrogen and ammonia operations. It plans to be a leader in the world’s renewable hydrogen industry.
Further, it plans to produce 15 million tonnes of green hydrogen each year by 2030. It also hopes green hydrogen will be the most traded seaborne energy commodity in the world by then.
So, while investors can’t buy into Fortescue Future Industries directly, a holding in Fortescue Metals will grant them some exposure to the business.
The post Is Fortescue Future Industries listed on the ASX? appeared first on The Motley Fool Australia.
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More reading
- Why are ASX hydrogen shares in the spotlight on Monday?
- Fortescue (ASX:FMG) share price gains amid Twiggy’s planned $1bn hydrogen investment
- Do these ASX dividend shares really have 20%+ yields?
- 2 ASX shares that could be worth researching this weekend
- Here’s why the Rio Tinto (ASX:RIO), BHP and Fortescue share prices are surging today
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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