Overview
- Plug closed a $431.25 million 6.75% unsecured convertible offering due 2033, yielding about $399.4 million in net proceeds.
- Management will retire remaining 15% secured debentures, refinance portions of its 2026 convertibles, and remove the former lender’s first lien.
- The notes use an eight-year balloon structure with no required amortization, which extends lower-cost capital and reduces near-term principal pressure.
- Reports estimate roughly $20 million in annual interest savings, and the company says the transaction fully funds its current operating plan alongside recent data-center agreements.
- The $3 conversion price implies potential dilution, with a Jan. 15, 2026 vote set on doubling authorized shares, as shares fluctuated this week and Plug reiterated a goal of positive EBITDA by year-end 2026.