Plug Power nasdaq Plug Stock Gains Momentum Following Major Financial Move

Plug Power (NASDAQ: PLUG) Stock Gains Momentum Following Major Financial Move

Plug Power (NASDAQ: PLUG) stock edged higher on Thursday after the company announced the issuance of new convertible notes to replace existing ones.

On March 20, 2024, Plug Power (PLUG) completed issuing $140.4 million in 7.00% Convertible Senior Notes due 2026 under an agreement with Wilmington Trust, National Association, serving as the trustee.

The company issued these new notes in exchange for $138,816,000 ($138.81M) of its existing 3.75% Convertible Senior Notes due 2025, including accrued and unpaid interest up to the exchange date. The company immediately canceled the 2025 notes after the exchange.

Following the transaction, around 58,500,000 (58.50M) of the 2025 Notes remain outstanding, with their original terms intact.

The initial conversion rate for the new notes has been set at 235.40 shares of common stock per $1,000 principal amount of new notes. This equates to an initial conversion price of around $4.25 per share of common stock, subject to adjustment based on specified events outlined in the indenture.

The new notes will mature on June 1, 2026, unless the terms of the indenture allow for their conversion, redemption, or repurchase before this date.

Plug Power (NASDAQ: PLUG) Stock Performance

PLUG stock rose 0.29% to close at $3.44 on Thursday. The traders had exchanged hands with 22,155,491 (22.15 million) shares compared to the average daily trading volume of 44.58 million. The stock has a market capitalization of $2.35 billion.