Plug Power says it's finalized terms for $1.6B DOE loan
Green hydrogen and fuel cell company Plug Power says it's finalized term sheet negotiation with the Department of Energy for a $1.6 billion loan facility.
Why it matters: Just two months ago, Plug's stock plummeted on the news that it had issued a going concern warning in its third quarter earnings, citing supply chain challenges.
Details: In its fourth-quarter earnings call on Tuesday, Plug CEO Andy Marsh said that the $1.6 billion DOE loan facility had been submitted to the Credit Review Board for final considerations and issuance of a conditional commitment.
- Marsh said when the funding is received it will support construction and ownership of up to six hydrogen production facilities including forthcoming plants in Texas and New York.
- Marsh told Axios in November that he expected the final term sheet in the first quarter of this year and said the loan "will put us in a great place to continue to be really unique in the hydrogen market with a large green hydrogen platform."
- Plug's stock jumped over 30% on the news on Tuesday and ended the day at $3.72 per share, and continued to rise Wednesday morning.