A Critical Juncture for Plug Power: Shareholder Vote and European Milestone Converge

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Plug Power Inc. finds itself at a pivotal crossroads this week, navigating two significant events that will shape its immediate financial future and long-term strategic path. The hydrogen technology company is preparing for a crucial shareholder meeting while simultaneously announcing a major advancement in its European operations.

The most pressing event for investors is an extraordinary general meeting scheduled for January 29. The primary agenda revolves around granting the company greater financial leeway by altering its capital structure.

Shareholders will vote on three key proposals:

• Proposal 1: A change to the voting standards to align with Delaware corporate law.
• Proposal 2: An increase in the number of authorized shares from 1.5 billion to 3 billion.
• Proposal 3: Authorization to adjourn the meeting if insufficient votes are present.

The central request to double the share authorization is not new. A similar proposal received approval from approximately 84% of votes cast at the 2025 annual meeting. However, it ultimately failed due to existing charter rules that count non-votes effectively as votes against the measure. This upcoming meeting seeks to adjust those rules and secure the increased share count, which management views as essential for maintaining operational flexibility.

The Contingency Plan: A Reverse Stock Split

Should the proposal to increase authorized shares fail again, Plug Power has a backup strategy. The company has stated it will execute a reverse stock split, a move already approved by shareholders in 2025. This mechanism would consolidate existing shares, reducing the total number outstanding and increasing the share price proportionally. Critically, this action would also create room under the current authorization to issue new shares without requiring a separate vote for a capital increase.

The Liquidity Imperative

The urgency behind these capital measures stems from a clear financial reality. According to analyst assessments, Plug Power is operating with a constrained liquidity runway and continues to report losses. Securing the ability to issue more equity would provide the company with options to:

• Meet existing financial obligations.
• Fund ongoing projects, including electrolyzer installations and hydrogen supply agreements.
• Safeguard general operational flexibility.

The situation presents a classic dilemma for shareholders: approving greater share authorization opens avenues for vital fundraising but carries the potential for dilution of existing ownership stakes. The January 29 vote directly pits short-term liquidity needs against shareholder value preservation.

European Expansion Hits Key Milestone in Portugal

Amidst the financial maneuvering, Plug Power continues to advance its project pipeline. The company has completed the installation of a 100-megawatt PEM GenEco electrolyzer at the Galp refinery in Sines, Portugal, marking a central step in one of Europe's largest renewable hydrogen initiatives.

Key project details include:

• Ten individual 10 MW GenEco modules were delivered and installed.
• Planned production capacity: Up to 15,000 tonnes of green hydrogen annually.
• Expected annual emissions reduction: 110,000 tonnes of greenhouse gases (Scope 1 and 2, CO₂e).
• The green hydrogen will replace approximately 20% of the refinery's current "grey" hydrogen consumption.
• A phased commissioning process is slated to begin in the coming months.

This project is a cornerstone of Plug Power's European strategy, which the company describes as multi-gigawatt electrolyzer installations across Spain, the United Kingdom, and other markets. It is supported by a global project pipeline valued at around $2 billion.

Jose Luis Crespo, currently President and Chief Revenue Officer and the incoming CEO, called the achievement a "defining moment for Europe's energy transition" and a model for decarbonizing industries that are difficult to electrify directly.

Leadership Transition Set for March

Running parallel to these developments is a planned change in executive leadership. Andy Marsh, who has served as CEO since 2008, will transition to the role of Executive Chairman in March. Jose Luis Crespo is then expected to assume the position of Chief Executive Officer.

This handover occurs during a complex phase for Plug Power, as it executes large-scale projects, drives European expansion, and addresses financial constraints. The new CEO will therefore inherit a mandate that inextricably links operational execution with strategic financing.