SolarCity IPO to watch: Have a look at the summary of the IPO (initial public offering) of SolarCity Corporation’s shares of ordinary shares. The company plans to go public on the NASDAQ Global Market under the symbol “SCTY.” The company has proposed a maximum aggreagate price of $201.250 million for the public offering.
SolarCity Corp. was founded in 2006, primarily sells renewable energy at prices below utility rates to our customers in 14 states, including Walmart, eBay and Intel, and government entities such as the U.S. Military.
SolarCity has raised $1.57 billion through 23 investment funds and related financing facilities. The company also has made significant investments in its business infrastructure and personnel to support its growth, causing substantial net losses over the past five years. The company incurred net losses of $10.95 million, $26.23 million, $22.72 million, 47.07 million and $73.71 million for the year ended December 31, 2007, 2008, 2009, 2010 and 2011, respectively.
The proceeds from the sale of the shares offered by the selling stockholders in SolarCity IPO will not be delivered to the company, although it will bear the costs. We will have broad discretion over the use of the net proceeds in this offering. The other net proceeds from this offering will be primarily used for general corporate purposes; to acquire or invest in other complementary strategic businesses, products or technologies to fund the company’s growth.
According to the prospectus, Goldman, Sachs & Co., Credit Suisse, BofA Merrill Lynch are acting as the representatives of the underwriters for SolarCity IPO. Needham & Company and Roth Capital Partners are also working as the co-managers for this public offering.