Plug Power Inc. (PLUG) shares soared 8.48% in pre-market trading on Thursday as the outgoing Biden administration is poised to finalize a crucial loan guarantee worth nearly $1.7 billion for the hydrogen energy company before the incoming Trump administration takes over.

The $1.7 billion loan guarantee from the U.S. Energy Department represents a significant capital injection that will allow Plug Power to construct new hydrogen production plants, which are critical for the company's growth strategy. With this substantial government backing, Plug Power is better positioned to scale up its hydrogen operations and cement its leadership in the rapidly growing clean energy market.

The finalizing of this loan guarantee is seen as a major development for Plug Power, providing it with the necessary funds to expand its production capabilities and meet the increasing demand for hydrogen energy solutions. Analysts view the financing as a lifeline for the company's ambitious expansion plans in the coming years, allowing it to construct state-of-the-art hydrogen plants.