Plug Power (PLUG) +8.3% pre-market Monday after saying it expects to generate more than $275 million in liquidity improvement through a combination of asset sales, the release of restricted cash, and reduced maintenance expenses.
Plug (PLUG) also said it has signed a letter of intent to monetize its electricity rights in New York and another location and collaborate with an unnamed U.S. datacenter developer that is actively expanding its datacenter platforms; Plug said it is working with the developer to explore providing auxiliary and back-up power solutions utilizing Plug’s advanced fuel cell technology.
In connection with the initiative, Plug (PLUG) said it will suspend activities related to the Department of Energy loan program and reallocate capital toward higher-return opportunities across its hydrogen network.
“Monetizing these assets strengthens our balance sheet, while partnering on a large-scale data center development expands Plug’s reach into a dynamic, high-growth market that values reliability, resiliency, and sustainability,” CEO Andy Marsh said.