Greentech vs. Fossil Fuels: A Mid-2010 IPO Scorecard
In a year where dozens of companies have withdrawn or postponed their initial public offerings, it's tough to find any positive developments in this rough-and-tumble market. Solar companies, including Trony Solar's announcement today, withdrew plans for IPOs. Others, like rare-earth elements company Molycorp's IPO, fell flat. In short, there were few bright spots among greentech IPOs this year. Fossil fuels, however, were another story.
Here's a mid-year Carbon Based scorecard that highlights the energy-related IPOs that were successful; the ones that fell short; and the companies still hoping to go public.
The winners are:
- Unconventional oil and gas: Oasis Petroleum (OAS) raised $588 million selling shares at $14 -- the midpoint of its forecast price range -- making it the second-biggest U.S. initial public offering in 2010. The independent exploration and production company is focused on developing unconventional oil and gas in Williston Basin in Montana and North Dakota. The company has more than doubled its drilling budget to $220 million in 2010.
- Natural gas pipeline: Chesapeake Midstream Partners (CHMK), a pipeline operator owned by natural gas behemoth Chesapeake Energy (CHK), sold 21.3 million shares at $21 each to raise $446 million -- the amount it sought. The company will use the funds to expand its existing pipelines in Texas
- Electric cars: Tesla Motors (TSLA) raised $226 million in June -- making it the biggest venture-backed IPO of the quarter. But as BNET's Plugged In blogger Jim Motavalli noted, folks may want to consider what happened to battery maker A123 before getting too excited.
- Oil sands: Athabasca Oil Sands Corp. (ATH) raised $1.32 billion in March, the biggest Canadian IPO in more than a decade and the top deal in North America in 2010. Its shares have fallen more than 30 percent since then and now hovers in the high $11 range.
- Energy efficiency: Cleantech company Ameresco (AMRC) had expected to raise about $160 million in its July IPO, based on $14 to $16 share price. Instead, the company, which designs and installs energy efficiency systems builds small renewable energy plants, raised only $87 million with shares priced at $10.
- Rare-earth elements: Molycorp (MCP) had hoped to raise $500 million to fund the reopening of its Mountain Pass, Calif. mine, which contains the largest deposits of rare-earth elements in the world, outside of China. It had looked promising at first. After all, rare-earth elements are used in just about every modern-day device from cell phones and laptops to hybrid cars and cruise missiles. Instead, the company lowered its share price last month to $14 and raised $393.8 million in its IPO.
- Solar: Both Solyndra and amorphous-silicon panel maker Trony Solar have bypassed plans for an IPO this year, and Jinko Solar (JKS) debuted in May at the low end of its predicted $11 to $13 range. Jinko has seen its shares steadily rise -- more than 6 percent -- so it's not all bad. Solyndra, the California-based maker of cylindrical photovoltaic solar systems, filed its IPO late last year. The company has since decided to raise $175 million from investors -- not the $300 it had hoped for in an IPO -- because of "ongoing uncertainties in the public capital markets."
- Wind: Massachusetts-based First Wind Holdings filed for an IPO with the SEC two years ago, but it has yet to become effective. First Wind shares were trade on the Nasdaq under the symbol WNDY. The company, which operates wind farms, had hoped to raise as much as $450 million. First Wind has had some positive news that could accelerate its IPO plans. First Wind received a $117 loan guarantee from the Department of Energy last month for its Oahu-based Kahuku wind project.
- Car-sharing: Zipcar, a company that offers consumers memberships to rent cars by the hour, filed plans for an IPO in June with intentions to raise $75 million. The company hasn't set a date, price or share size for its offering.
- Synthetic biofuels and chemicals: Amyris Biotechnologies filed its IPO in April with hopes to raise $100 million. The company is backed by venture firms Kleiner Perkins Caulfied & Byers and Khosla Ventures. The company also established a joint venture with Brazilian sugar and ethanol producer Grupo Sao Martinho to build a facility to make Amyris renewable products.
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