PowerBank Corporation announced a new $8 million revolving credit facility with NY Green Bank, a division of the New York State Energy Research and Development Authority. The line of credit is intended to cover refundable interconnection deposits for the company’s first 50 MW of distributed solar and battery storage projects in New York State, allowing PowerBank to move projects forward without depleting its balance sheet.
The facility is part of PowerBank’s broader strategy to convert its 1 GW development pipeline into operational assets. By providing a refundable source of capital, the company can accelerate construction, secure permits, and bring projects online faster, supporting its pivot toward long‑term independent power producer (IPP) revenues and recurring cash flows. NY Green Bank has the option to increase the facility to $12 million, and the bank has already committed over $2.6 billion to clean‑energy projects since 2013.
PowerBank’s shift toward the digital economy—particularly data‑center and AI compute power—requires a steady stream of capital to meet the growing demand for reliable, low‑carbon energy. The new credit line enables the company to finance interconnection deposits, a key upfront cost that can otherwise delay project timelines. This financing therefore removes a critical bottleneck in the development pipeline and positions PowerBank to capture the expanding market for power infrastructure that supports high‑density computing.
Financially, PowerBank carries a debt burden of more than $53 million and a current ratio of 0.97, indicating liquidity constraints. The company’s FY 2025 results showed a 29% revenue decline to $41.5 million and a net loss of $31.1 million, underscoring the importance of the new credit line in maintaining project momentum while managing debt. The revolving facility provides a flexible, low‑cost source of working capital that can be drawn as needed and repaid when projects reach commercial operation.
On the day of the announcement, PowerBank’s shares rose 2.42% to $1.69, reflecting investor confidence that the financing will support the company’s growth strategy and improve its balance‑sheet profile. The market reaction highlights the perceived value of the credit line in accelerating project development and mitigating liquidity risk.
Dr. Richard Lu, CEO and President of PowerBank, said, “The financing from NY Green Bank for this initial portfolio represents an excellent opportunity for PowerBank and our partners. This transaction reflects PowerBank’s established track record in New York State, and our strong working relationship with NYSERDA. As these projects advance, we’re excited to contribute to the region’s clean‑energy objectives.”
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