FuelCell Energy Inc. (NASDAQ:FCEL) slid 4.3% on Monday following news that the company has finalized a new debt financing agreement with the Export-Import Bank of the United States (EXIM).
The deal will provide roughly $25 million in gross proceeds before fees and reserves, giving the company additional capital to support its international growth plans, particularly in South Korea. The transaction was completed under EXIM’s Project & Structured Finance program, which is designed to help U.S. exporters compete in global markets.
FuelCell Energy said the funding will back the next stage of its project with Gyeonggi Green Energy (GGE) in South Korea, covering further module shipments and service commitments. Specifically, the financing will support production of fuel cell modules for the final phase of upgrading 42 units at GGE’s Hwaseong Baran Industrial Complex.
“Our relationship with EXIM is a testament to the strength of our utility scale power generation technology and our shared commitment to expanding the global reach of American-made energy solutions,” said Michael Bishop, EVP and CFO of FuelCell Energy.
The company noted that all of its fuel cell modules are built in the United States at its Torrington, Connecticut facility, relying primarily on U.S.-sourced suppliers and materials.
This latest financing extends FuelCell Energy’s long-standing relationship with EXIM and aims to enhance the company’s ability to deploy baseload power solutions for utility customers in South Korea and other international markets.