Hoku Scientific (HOKU) is up nearly 12% in after hours trading on news it has finally received the rest of the loan from Tianwei New Energy in order to keep the company running. This loan is the final $30 million of the total $50 million loan it has now received from Tianwei. The loan was supposed to be paid last month, but got held up in Chinese government red tape.
The cash will go to paying off past due vendor payments and to continue operations at its Pocatello, Idaho plant.
“We are pleased that with the receipt of recent cash payments we are able to focus on completing our reactor demonstration in the weeks ahead,” said CEO Dustin Shindo. “This is a big step in the right direction as we plan to commence shipments from our plant later this year.”