Plug Power Inc. shares remained unchanged at $2.10 in premarket trading on Tuesday as investors await a pivotal shareholder vote scheduled for February 17. The hydrogen fuel cell company is seeking approval to expand its pool of authorized common shares, a move that could facilitate future fundraising but also raises concerns about potential dilution.
Last week, preliminary voting results indicated insufficient support for the proposal, with approximately 39.63% of outstanding shares favoring the measure to increase authorized shares to 3.0 billion from 1.5 billion. A second proposal received backing from about 49.40% of shares. The special meeting will reconvene on February 17 at 4:00 p.m. EST to finalize the vote.
Chief Executive Officer Andy Marsh has actively urged shareholders to approve the measures, stating the company is "close, but not done yet." In a recent communication, Marsh warned that failure to pass the second proposal could force the company to consider a reverse stock split. Such an action would mechanically elevate the share price but would not address underlying capital requirements.
The stock closed Monday's regular session at $2.10, marking a 1.2% gain and extending a two-day advance. Despite this recent uptick, Plug Power shares remain approximately 54% below their 52-week high of $4.58. Trading volume recently trailed its 50-day average.
Beyond the immediate vote, the company faces additional headwinds. Several investor law firms have announced a securities class action lawsuit related to past disclosures and federal loan matters, with a lead plaintiff deadline of April 3.
The outcome of the shareholder vote will significantly influence the company's strategic options. Approval could open the door to equity market transactions, while rejection might constrain capital access and trigger corporate actions that typically unsettle short-term investors. Following the vote, market attention will shift to the company's upcoming earnings report, expected around February 26, where financing plans and the trajectory of losses will be closely scrutinized alongside demand metrics.
