Hercules Capital amended the credit facility of FuelCell Energy, a provider of clean and affordable fuel cell solutions for the supply, recovery and storage of energy. The amendment increases the facility amount to $25 million, extends the maturity date until 2020 and provides for an interest-only period, along with other term modifications.
“We are pleased to have the continued support and confidence of Hercules,” said Michael Bishop, senior vice president and CFO of FuelCell Energy. “The availability of this increased credit facility, as well as the interest-only period, provides important flexibility in our long-term financing plan as FuelCell Energy executes on our significant order backlog and project awards.”
“Hercules is pleased to expand its financing partnership with FuelCell Energy,” said Scott Bluestein, chief investment officer at Hercules Capital. “This investment in FuelCell Energy is another example of our ability to finance growth oriented sustainable and renewable energy companies at various stages of development.”
As a result of the refinancing, FuelCell Energy will access new funding of approximately $13 million to bring the outstanding balance to $25 million. The loan has a term of between 24 and 30 months, contingent upon the company achieving certain performance milestones, and payments under the loan are interest-only for the initial 12-month period, followed by equal monthly installments of principal and interest thereafter until the end of the term. The interest-only period may be extended up to 21 months contingent upon FuelCell achieving certain milestones.
