Plug Power files stock prospectus, cuts staff

News Story
- 24 Jan 2013 ( #600 ) - Latham, NY, United States
2 min read
Plug Power Inc filed a preliminary 128-page stock prospectus on 15 January with the US Securities and Exchange Commission, possibly seeking proceeds of USD20 million.

The proposed sale to the public of to-be-determined quantities of shares of common stock and warrants will begin "as soon as practicable after the effective date of this registration statement", Plug Power says. Roth Capital Partners LLC, based in Newport Beach, California, is the underwriter.

As of 31 December, Plug Power had 156 employees, including six temporary workers.

On 11 December, the company adopted a restructuring plan that included the elimination of 22 full-time positions. Plug Power substantially completed the workforce reduction on 13 December and projected incurring pre-tax restructuring charges of about USD600,000 relating to severance pay and related costs.

"As a result of the restructuring, we expect to reduce annual expenses by USD3-4 million," the company says. For the nine months ended 30 September, Plug Power reports a loss of USD23.4 million on sales of USD20.2 million.
In a public offering completed on 28-29 March 2012, Plug Power gained total proceeds of USD15.7 million from the offering of shares of common stock and the underwriter's exercise of an over-allotment option.

Plug Power shares trade on the Nasdaq stock market but are currently not in compliance with a marketplace rule. Nasdaq issued a 12 October deficiency notice "because the bid price of our common stock closed below the required minimum USD1 per share for the previous 30 consecutive business days", Plug Power reported. The company has until 10 April to regain compliance with the rule, or Nasdaq can notify Plug Power that that stock is subject to delisting. "We are currently evaluating our alternatives to resolve the listing deficiency," Plug Power says.

Latham-based Plug Power focuses on developing, manufacturing and selling hydrogen-fueled proton-exchange-membrane fuel cell and fuel processing technologies and fuel cell/battery hybrid technologies, principally for forklift-related and materials handling applications. As an electrochemical device, Plug Power's GenDrive-brand fuel cell combines hydrogen and oxygen to produce electricity and heat without combustion.

During 2012, Plug Power received new orders from Stihl, Mercedes Benz, Lowe's, Carter's and Ace Hardware and gained add-on orders from Wal Mart, P&G, Coca-Cola, Sysco, Wegmans, Kroger and BMW.

Plug Power has deployed more than 3,000 GenDrive units to materials handling customers with an accumulation of more than 8.5 million hours of runtime.
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