WHAT’S HAPPENING WITH FREYR BATTERY STOCK ON TUESDAY?

Freer Battery Company (New York Stock Exchange:Free) Stocks are trading higher on Tuesday. The company has completed its acquisition of Trina Solar’s 5 GW solar module manufacturing facility in The city of Wilmer, Texas, announced last month.

The deal includes $100 million in cash, a $50 million loan repayment, a $150 million loan note, and a 9.9% stake in FREYR, with a potential additional 11.5% stake through $80 million convertible notes. FREYR also assumed $235 million in facility debt.

A solar module plant in Wilmer, Texas, is on track, with the first line completed and the second line operational. Full production is expected to be completed by the second half of 2025.

FREYR plans to begin construction of a solar cell facility in the US in the second quarter of 2025, with regulatory filings beginning in the first quarter of 2025. Approximately 30% of production volume has already been secured through firm offtake agreements with US customers.

FREYR also secured $50 million from Encompass Capital Advisors, with an additional $50 million contingent on construction of the solar cell facility.

This acquisition strengthens FREYR’s solar and battery capabilities, positioning it to grow in renewable energy.

Expectations: FREYR has reiterated its 2025 EBITDA guidance of $75 million-$125 million, aiming to achieve Run rate of $175 million to $225 million by year end.

The company expects to achieve fully integrated operations to achieve Annual EBITDA of $650 million – $700 million.

Daniel Barcelo, Chairman and CEO of FREYR, said: “We are grateful for the continued support of our shareholders and look forward to advancing our key objectives of creating meaningful shareholder value and strengthening our competitive position in 2025, highlighted by the planned start of construction of our solar cell manufacturing facility and other Project development opportunities emerge for FREYR and Trina to mutually pursue.”

Last month, the company reported a Q3 2024 EPS loss of ($0.20), Loss of consensus $(0.18).

As of September 30, 2024, FREYR had cash, cash equivalents and restricted cash of $184.1 million.

Price action: FREY shares were up 13.30% at $3.90 at last check on Monday.

Read next:

Image courtesy of Freer Battery

Next: Transform your trading with unique market trading ideas and tools from Benzinga Edge. Click now to access unique insights That can put you ahead in today’s competitive market.

Get the latest stock analysis from Benzinga?

This article WHAT’S HAPPENING WITH FREYR BATTERY STOCK ON TUESDAY? Originally appeared on Benzinga.com

© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.