FuelCell Energy Upsizes Stock Offering to $224.9M, Prices at $21/Share
FCEL has more than doubled off its 52-week low of $3.78.
Summary
FuelCell Energy announced the pricing of its upsized common stock offering at $21 per share, consisting of 10.71 million shares. This offering is expected to raise approximately $224.9 million in gross proceeds, following the company's initial announcement yesterday of a $200 million public offering. The capital raise provides crucial funding, which the company plans to use for capital expenditures related to the expansion of its manufacturing capacity. The offering is expected to close around July 9. This funding comes after the company recently reported a widened Q2 net loss and a $42.6 million impairment, and the offering will result in significant dilution for existing shareholders, representing roughly 13% of the company's current shares outstanding.
At the time of this announcement, FCEL was trading at $21.61 on NASDAQ in the Energy & Transportation sector, with a market capitalization of approximately $1.8B. The 52-week trading range was $3.78 to $37.88. This news item was assessed with neutral market sentiment and an importance score of 9 out of 10. Source: Reuters.