Plug Power Inc. (Nasdaq: PLUG), which was on Mergers & Acquisitions Distressed Company Watch List, has acquired assets of ReliOn Inc. to bring in new technology. (See the current Distressed Company Watch List here.)
Spokane, Wa.-based ReliOn develops hydrogen fuel cell stack technology and fuel cell systems. Plug Power paid about $4 million in common stock for the assets.
The deal adds fuel cell stack technology and products to Plug Power, which provides fuel cells. The company plans to integrate the technology into its GenDrive fuel cell systems this year.
"Over the last six to nine months, we've really expanded our business model," Plug Power CEO Andrew Marsh told Mergers & Acquisitions in January.
Plug Power landed on Mergers & Acquisitions Distressed Company Watch List after accounting firm KPMG LLC raised substantial doubt about the company's ability to continue as a going concern, according to an April 1, 2013 filing with U.S. Securities and Exchange Commission. At that time, the company was also facing delisting problems with the Nasdaq exchange after its shares were consistently priced at less than $1.
The stock price surpassed $1 in December, opening at $1.04 on Dec. 4. Since then, Plug Power's shares have skyrocketed, peaking at $11.41 on March 10. Plug's shares opened at $7.70 on April 3, the day after the acquisition was announced.
For more, see "Plug Power Looks to Expand."