FuelCell Energy, Inc. (NASDAQ:FCEL) shares rebounded on Thursday, climbing back toward $25 after the company announced a major collaboration with Siemens Corporation, a U.S. subsidiary of Siemens AG (OTC:SMERY).
The sharp rise helped the stock claw back losses from a steep sell-off just one day prior.
FuelCell Energy And Siemens Team Up
FuelCell Energy and Siemens formalized their collaboration with a memorandum of understanding. Siemens will design and supply electrical balance-of-plant systems for fuel cell installations.
The systems will enable rapid deployment of commercial projects exceeding 100 megawatts.
This collaboration integrates FuelCell Energy’s fuel cell technology with Siemens’ electrical infrastructure and integration expertise.
The company aims to help customers deploy reliable on-site power more quickly. They also seek to reduce costs, shorten project timelines, and scale distributed energy systems.
The partnership involves joint development, integration, and delivery of distributed energy systems. These systems combine fuel cells, battery energy storage, microgrid controls, and medium-voltage electrical equipment.
FuelCell Prices Upsized Offering Amid Stock Volatility
FuelCell Energy priced its upsized public offering of 10.71 million shares at $21.00 per share, with gross proceeds of $225 million.
The $21.00 price represented a steep 19% discount to Tuesday’s closing price of $25.96. The announcement triggered dilution fears, sending the stock down over 13% Wednesday to close at $22.54.
FCEL ETF Exposure: Clean Energy And Hydrogen Funds
- Invesco WilderHill Clean Energy ETF (NYSE:PBW): 3.65% Weight
- Global X Hydrogen ETF (NASDAQ:HYDR): 4.28% Weight
- Defiance Next Gen H2 ETF (NYSE:HDRO): 6.56% Weight
Significance: Because FCEL carries significant weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock.
FCEL Price Action: FuelCell Energy shares were up 5.72% at $23.83 at the time of publication on Thursday, according to Benzinga Pro data.
Photo: Courtesy FuelCell Energy
