Boston, MA 01/31/2014 (wallstreetpr) – Plug Power Inc (NASDAQ:PLUG) has announced the pricing of underwritten registered offering of 10 million shares of its common stock accompanied with warrants to purchase another 400,000 shares of its common stock. Plug power plans to sell the warrants and shares together in a fixed combination. Each combination will be made of one share of common stock and 0.40 of a warrant. The price has been set at $3.00 per fixed combination with the gross proceeds expected to total $30 million. Plug power placed all the securities with a single institutional investor in this case.
Plug power Inc (NASDAQ:PLUG) expect the warrants to have an exercise price of $4.00 per share with Cowen and Company, LLC acting as the sole underwriter of the entire offering. Plug power expects the net proceeds after underwriting discounts and commissions inclusive of other estimated fees and expenses to total to an approximate amount of $28 million. The net proceeds from the offering will be used by Plug Power for enhancing its working capital and other corporate purposes such as capital expenditures.
The proposed securities are being offered in pursuant of shelf registration statement on Form S-3 (No. 333-173268) that includes base prospectus that had previously been filed. There has been suggestions that the securities may be offered in terms of prospectus only. Plug power has continued to position itself for an extended period of remarkable growth made only possible by its 5 years testing investing and continuous product development. Plug power Inc (NASDAQ:PLUG) looks set to be in line to record its first ever profit in the coming quarters. This is to be made possible by the growing buzz in the fuel cell industry accompanied with increased interest of its business portfolios across the globe and a rapidly expanding target market.
