Polar Power, Inc. (NASDAQ:POLA) shares rose 41.60% to $2.08 in after-hours trading on Monday after the company announced a Committed Equity Facility that provides access to up to $25 million in capital.
Polar Power designs and makes DC power systems used in telecommunications, military, EV charging and other industrial applications.
Company Announces $25 Million Equity Facility
Polar Power said it entered into a Committed Equity Facility with Roth Principal Investments, LLC, an affiliate of Roth Capital Partners. The facility allows, but does not obligate, the company to issue and sell up to $25 million of its common stock at its discretion, subject to certain conditions, following the effectiveness of a registration statement.
The company said it intends to use any net proceeds for working capital and general corporate purposes, including the continued development and growth of its DC power systems business.
Polar Power noted that it is under no obligation to utilize the full amount available under the facility. The company also stated that any future sales of common stock under the facility, together with the resale of shares by Roth Principal Investments, may be dilutive to existing shareholders.
President and CEO Arthur D. Sams said the facility is intended to provide additional financial flexibility to support growth across markets including data center power and cooling, drone charging systems, EV charging, robotics, and micro/nano grids.
Trading Metrics, Technical Analysis
Polar Power has a market capitalization of $5.35 million, with a 52-week high of $5.70 and a 52-week low of $1.31.
Over the past 12 months, POLA shares have declined 31.94%.
Price Action: Polar Power shares closed Monday’s regular trading session at $1.47, up 1.38%.
Benzinga Edge Stock Rankings indicate that the stock has a negative price trend across the short-, medium-, and long-term time frames.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo: Zakharchuk on Shutterstock.com
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