So far, we’ve spent a bit of time talking about the latest green gadgets, but we have yet to touch on money making ideas…another very important aspect of going green for fun and profit! Today, I’d like to talk a little bit about some ideas for green investing by looking at some green companies that are getting ready to do initial public offerings, or IPOs, of their stock. The recent economic downturn has hit all sectors of the economy, and the green sector is no different; as a result, the pace of green companies going public has been relatively slow for a while. However, now that we are seeing signs that the economy is starting to pick up again, late-stage green startups are seeing more opportunity for successfully going public, and they are starting to announce plans for IPOs. Below is a list of green companies that have recently gone public or may be going public soon. As with any investment, you should do your own due diligence in investigating these companies before making a decision about your investment strategy, but this list provides a starting point for identifying new green investing opportunities.
Let’s start with one green company that has already successfully gone public:
- A123 Systems (AONE): Maker of rechargeable lithium ion batteries, primarily for the automotive sector. It already went public, with its IPO on NASDAQ on September 24, 2009, but it is worth mentioning here because its successful IPO raises hopes for upcoming green IPOs. The stock, initially offered at $13.50, jumped to $20.29 in the first day of trading. The $371 million that A123 raised in its IPO was the most by any venture-backed IPO in 2009.
Next up are two green companies that have recently filed for IPOs:
- Solyndra: Maker of thin-film photovoltaic solar tubes; its name is based on the unusual cylindrical geometry for its solar panels. Solyndra filed its registration for an IPO of up to $300 million with the SEC on December 18, 2009. Solyndra has already raised $970 million in financing, and is aiming to reach grid parity on the cost of electricity from its PV panels by 2012.
- Codexis: Developer of biocatalysts for the pharmaceutical and biofuel industries. Codexis filed its registration for an IPO with the SEC on December 28, 2009. This is not its first IPO filing; it had initially filed for an IPO in April 2008, but withdrew its filing after the market downturn. It is backed by Shell and Chevron, and is looking to expand the application of its biocatalysts to carbon capture.
Finally, here are a few green companies that are rumored to be considering IPOs:
- Tesla Motors: Maker of sporty electric vehicles, including the Roadster and the upcoming Model S.
- Silver Spring Networks: Big player in the smart grid infrastructure space, providing hardware, software, and services for enabling the smart grid.
- Trilliant: Another smart grid player, focusing on advanced metering, demand response, and smart grid management.
- BrightSource Energy: Developer and operator of large-scale solar thermal energy projects.
- Bridgelux: Manufacturer of energy efficient LED lights for interior and exterior applications.
If you have any of your own recommendations for green investing, please leave them in the comments. In the next post, we will take a look at some money making ideas for individuals and companies in the wind power industry.