FuelCell Energy Inc (NASDAQ:FCEL) is trading higher Monday morning after the company reached a settlement agreement in its legal dispute with POSCO Energy.
Pursuant to the agreement, FuelCell confirmed its exclusivity to sell its differentiated platform technology throughout Asia.
All licenses that were previously granted to POSCO Energy have been amended so that POSCO has the right to service the existing installed POSCO customer base, but has no other rights to FuelCell technology in South Korea or broader Asian markets.
"We are extremely pleased to have reached a favorable agreement with POSCO which confirms our access to the Asian market for FuelCell Energy," said Jason Few, president and CEO of FuelCell.
"This resolution unlocks a path forward and gives customers in South Korea and across Asia the ability to evaluate FuelCell Energy's differentiated platforms against alternative offerings without concern and uncertainty surrounding the legal dispute between FuelCell Energy and POSCO," Few added.
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FuelCell is a fuel-cell power company that designs, manufactures, sells, installs, operates and services fuel cell products, which efficiently convert chemical energy in fuels into electricity through a series of chemical reactions.
FCEL Price Action: FuelCell has traded as high as $29.43 and as low as $5.33 over a 52-week period.
The stock was up 5.73% at $6.83 at time of publication.
Photo: courtesy of FuelCell.