Shareholder Vote on Equity Authorization Threatens Mandatory Reverse Split

Feb 6, 2026 (21 hr ago)

Neutral

Shareholders face a critical vote on increasing authorized shares, which management warns is necessary to avoid a mandatory reverse stock split.

Shareholder Vote and Equity Strategy Contingency

The special shareholder meeting includes a vote on Proposal 2 to increase authorized shares, deemed essential for near-term financial flexibility and potential M&A activity3
CEO Marsh warned that if Proposal 2 fails, the company may pursue a reverse stock split, potentially 1-for-10, which would free up 1.35 billion shares3
The minimum reverse split ratio the company would consider if the authorization fails is 1-for-53

Plug Power successfully completed the first fill of its "Hynetwork" pipeline in Rotterdam, Netherlands, delivering 32 tons of certified green hydrogen1
The company is modeling how electrolyzers and stationary products could support data centers by providing power during peak grid demand periods3
A large undertaking in Uzbekistan, estimated as a $10 billion project overall, is being developed to create Sustainable Aviation Fuel (SAF)3

The company is "laser-focused" on achieving EBITDA break-even by the end of 2026, having dramatically reduced cash use by at least 50% last year3
Interest costs were lowered by utilizing a convertible deal to pay off a term loan, reducing rates from approximately 13-14% down to about 7%3
A securities class action lawsuit has been filed against the company and executives alleging fraud related to statements concerning a U.S. Department of Energy loan guarantee program1