Plage Power Company (NASDAQ:PLUG) shares are trading higher today. The hydrogen solutions provider has launched Equipment Leasing Financing Platform.
The company aims to raise over $150 million in the near to medium term through a combination of debt leverage and customer financing solutions.
The platform is designed to free up capital from Plug’s equipment assets and provide financing options to drive sales growth.
In its initial move, Plug has closed three sale and leaseback deals totaling approximately $44 million with GTL Leasing, a subsidiary of Antin Infrastructure Partners.
“This provides immediate capital with a path to additional capital in the near term, supports our growth in the green hydrogen sector, and is aligned with Plug’s financial and operational objectives,” said Paul Middleton, Plug’s CFO.
These agreements cover hydrogen transportation and storage equipment, including trailers and refrigerated storage tanks. These transactions allow Plug to retain access to essential hydrogen equipment while enhancing its financial flexibility.
The raised capital will be reinvested in core operations, supporting the company’s long-term growth and expansion plans.
The platform is designed to improve Plug’s operational efficiency and resource management while providing attractive investment opportunities for partners like GTL to grow their leased asset portfolios.
For GTL and other participants, this partnership provides long-term revenue potential, portfolio diversification, and deeper participation in the green hydrogen economy, positioning them for sustainable growth and expansion.
“These transactions not only provide GTL with a strong portfolio of storage tanks and trailers – both refrigerated and gasified – but also support some of the largest distribution centers in the United States,” said Natalie Kosciusko-Morizet and Stefan Vilhauer, Senior Partner and Partner, respectively, at Antin Infrastructure Partners.
On Wednesday, Plug Power secured a 25 megawatt (MW) order for proton exchange membrane (PEM) electrolysis systems from a major oil company. Joint venture, Castellón Green Hydrogen SL.
Investors can access the shares via Global X Hydrogen ETF (NASDAQ:HYDR) and Defiance Next Gen H2 ETF Series Solutions (NYSE:HDRO).
Read also: Plug Power misses Q2 revenue, analysts focus on electrolyzer deployment: ‘The bar was low’
price actionPLUG shares were up 5.95% at $2.225 at last check on Thursday.
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This article Plug Power Supports Sales Growth with $150+ Million Equipment Leasing Strategy – What’s the Benefit? Originally appeared on Benzinga.com
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