In pre-market trading hours on Tuesday, FuelCell Energy Inc. (FCEL) gained 4.99% at $7.58. FCEL stock scored a 14.40% gain to close at $7.22 in the last trading session. There was a price range of $6.2904 to $7.528 for FuelCell stock. FCEL exchanged 39.68 million shares, which was higher than its daily average of 21.54 million shares over 100 days. FCEL stock has gained 14.6% over the last five days while losing -10.31% for the past month. Following the closing of an equity transaction, FCEL stock is rising.
How did that transaction go?
A global leader in clean, sustainable energy, FuelCell Energy provides solutions to some of the world’s most pressing needs, including energy, safety, and urbanization. With FCEL’s proprietary fuel cell technologies, the company is uniquely positioned to serve businesses, utilities, governments, and municipalities with sustainable products and solutions. Through the FuelCell solutions, a world powered by clean energy can be created that will enrich people’s lives around the world.
Currently, FCEL offers sub-megawatt solutions for smaller power users in Europe, and targets large-scale power users with its megawatt-class installations globally. FCEL develops turn-key solutions for distributed power generation and operates as well as provides comprehensive support for the life of the power plant.
A tax equity financing transaction between FuelCell Energy and East West Bank has closed for a 7.4 megawatt (“MW”) fuel cell project located at the U.S. Navy Submarine Base in Groton, CT, commonly known as the Submarine Force. East West Bank has committed $15 million in tax equity. As FCEL works with customers to achieve their decarbonization and enhanced grid resiliency goals, this commitment underscores the market’s interest in financing FCEL’s distributed sustainable energy platforms.
In addition to allowing FuelCell to retain most of the project’s long-term, recurring cash flow, this loan structure also creates the possibility of additional equity investment opportunities, which will enhance the project’s overall return on equity. FuelCell plans to complete the mechanical completion of the project by the end of September 2021 and to commence commercial operation by the end of October 2021.
The project will be capitalized through back-leverage debt after commercial operation. It demonstrates FCEL’s high-quality, reliable clean energy solution that supports the Navy’s decarbonization goals and provides electrical resiliency in one of the country’s most critical infrastructures.
FCEL’s recent installation:
In Groton, FuelCell Energy (FCEL) has installed 7.4 MW of SureSource power platforms in order to supply long-term power to an electrical substation at the U.S. Navy Submarine Base. As part of the highly efficient fuel cell power generation system installed by FCEL, the strategic military base is supplied with continuous power while reducing carbon emissions accordingly.
