Albuquerque-based BayoTech Inc., an on-site hydrogen production company, said it has secured a $157 million investment from private equity firm Newlight Partners LP.

Other investors including Cottonwood Technology Funds, Sun Mountain Capital and Fortistar also are backing growth, according to BayTech, to increase project development and expand infrastructure.

“Advances in fuel cell technology are driving demand for hydrogen in emerging applications, including in the materials handling, mobility and power sectors, where demand tends to be more distributed,” Newlight partner Mark Longstreth said. 

“BayoTech’s innovative approach to on-site hydrogen generation ensures that these end-users, who are not well served by the incumbent industrial gas players, are able to get...