PLUG Shares Are Rising Today – Here’s Why?

• The company is seeking stockholder approval to amend its charter to increase the number of authorized shares of common stock from 1.5 billion to 3.0 billion.
• It first sought the approval in July last year and had received support from approximately 84% of voting stockholders but it didn’t pass. 
• The company is also proposing an amendment to the Plug’s charter to modernize its voting standards by aligning them with current Delaware law.

Plug Power Inc. (PLUG) shares rallied over 4% on Wednesday ahead of a crucial shareholder vote due on Friday. 

The company’s special meeting this week includes proposals that are critical to supporting its ongoing operations, financial flexibility and long-term growth strategy.

Double Share Count

The company is seeking stockholder approval to amend its charter to increase the number of authorized shares of common stock from 1.5 billion to 3.0 billion.

It first sought the approval in July last year and had received support from approximately 84% of voting stockholders. However, because the company’s charter requires approval by a majority of all outstanding shares, not votes cast, the proposal did not pass.

Modernize Voting Standards

The company is also proposing an amendment to the Plug’s charter to modernize its voting standards by aligning them with current Delaware law.

Plug said that the amendment will allow certain future charter amendments to be approved by a majority of the votes cast, where permitted by Delaware law, rather than a majority of outstanding shares, and is intended to address prior voting outcomes in which proposals supported by a substantial majority of the votes cast were not approved under the company’s voting standard.

Plug said that the proposals of modernizing voting standards as well as increasing authorized share counts are vital to ensuring that the firm has the governance flexibility and capital structure capacity to support its financial obligations, maintain operating flexibility, and support ongoing business needs. 

Other News

Plug late last week said it has successfully completed the installation of 100MW of PEM GenEco electrolyzers at Galp’s Sines Refinery.

The Sines project is part of Plug’s strategic expansion in Europe, which includes multi-gigawatt electrolyzer deployments across Spain, the U.K., and beyond, supported by a $2 billion global opportunity funnel.

How Did Stocktwits Users React?

Retail sentiment around PLUG trended in the ‘extremely bullish’ territory amid ‘high’ message volume over the past 24 hours.

The company’s shares have jumped nearly 21% over the past 12 months.
 

Share

·

Add us on