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Shareholders' Equity (Deficit)
 9 Months Ended
Jul. 31, 2016
Equity [Abstract]  
Shareholders' Equity (Deficit)
Shareholders’ Equity
Changes in shareholders’ equity
Changes in shareholders’ equity were as follows for the nine months ended July 31, 2016:
 
 
Total
Shareholders’
Equity
 
Noncontrolling
interest
 
Total
Equity
Balance as of October 31, 2015
$
95,309

 
$
(555
)
 
$
94,754

Share-based compensation
2,530

 
—

 
2,530

July 2016 sale of common stock and pre-funded warrants, net
34,762

 
—

 
34,762

Fiscal 2016 open market sales of common stock
33,529

 
—

 
33,529

Taxes paid upon vesting of restricted stock awards net of stock issued under benefit plans
(125
)
 
—

 
(125
)
Preferred dividends – Series B
(2,400
)
 
—

 
(2,400
)
Other comprehensive income - foreign currency translation adjustments
(26
)
 
—

 
(26
)
Net loss
(38,095
)
 
(165
)
 
(38,260
)
Balance as of July 31, 2016
$
125,484

 
$
(720
)
 
$
124,764



July 2016 Securities Offering
On July 12, 2016 Company closed on a registered public offering of securities to a single institutional investor pursuant to a placement agent agreement with J.P. Morgan Securities LLC. The Company received net proceeds from the transaction of $34.8 million, after deducting underwriter discounts and offering expenses of $2.6 million. The transaction consisted of 1,474,000 shares of common stock, 7,680,000 Series A Warrants and 4,926,000 prefunded Series B Warrants. The Series A warrants have an exercise price of $5.83 per share and are initially exercisable beginning on the date that is six months and one day after the issue date and will expire on the fifth anniversary of the initial exercisability date. The Series B warrants are fully pre-funded warrants and are immediately exercisable. The Series B warrants have an exercise price of $0.0001 per share and will expire on the fifth anniversary of the issue date. The pre-funded Series B warrants were offered to the investor, whose purchase of shares of common stock in this offering would otherwise result in the investor, together with its affiliates and certain related parties, beneficially owning more than 4.99% of FuelCell Energy’s outstanding common stock following the consummation of this offering. In lieu of purchasing shares of common stock that would result in its ownership of the Company in excess of 4.99%, the investor purchased the Series B warrants. Such Series B warrants grant the investor the right to acquire additional shares of FuelCell Energy common stock at a point in time of its choosing within five years of the issue date of the Series B warrants. The following table outlines the warrant activity during the third quarter of Fiscal 2016:

 
 
Series A Warrants
 
Series B Prefunded Warrants
Balance as of July 12, 2016 (date of issuance)
 
7,680,000

 
4,926,000

Warrants exercised
 
—

 
—

Warrants expired
 
—

 
—

Balance as of July 31, 2016
 
7,680,000

 
4,926,000



The warrants and pre-funded warrants continue to qualify for permanent equity accounting treatment.

Other Common Stock Sales and Outstanding Warrants
The Company may sell common stock on the open market from time to time. The proceeds of these sales may be used for general corporate purposes or to pay obligations related to the Company's outstanding Series 1 and Series B preferred shares. During the nine months ended July 31, 2016, the Company sold 5,484,272 shares of the Company's common stock at prevailing market prices through periodic trades on the open market and raised approximately $33.5 million, net of fees.

On July 30, 2014, the Company issued a warrant to NRG in conjunction with the entry into a Securities Purchase Agreement for the sale of common stock. Pursuant to the warrant agreement, NRG has the right to purchase up to 0.2 million shares of the Company's common stock at an exercise price of $40.20 per share. The warrants continue to qualify for permanent equity accounting treatment and expire on July 30, 2017.