NEW YORK CITY -- SolarCity Corp., the developer of rooftop solar-power systems whose chairman is billionaire Elon Musk, is seeking as much as $151 million in an initial public offering.
The company and its existing shareholders plan to sell about 10.1 million shares at $13 to $15 each, according to a regulatory filing today. SolarCity plans to list on the Nasdaq Stock Market under the symbol SCTY, and may price the offering on Dec. 11, according to data compiled by Bloomberg.
The company is seeking to go public amid a global oversupply of solar components that’s driven down the price of photovoltaic panels 19 percent in the past year. That’s pummeled the share price of manufacturers including First Solar Inc. and Suntech Power Holdings Co., and will aid SolarCity, the company said.
“While these developments have adversely impacted panel manufacturers and the overall upstream market, we and other downstream companies have benefited significantly,” SolarCity said in the filing. “In 2006, the year we commenced business, solar panel prices were 472 percent higher than now,” and the company expect prices to continue to fall.
SolarCity will have 71.7 million shares of common stock outstanding, and the float will be 14 percent. At the midpoint of the proposed range, SolarCity’s market value will be about $1 billion.
SolarCity was founded by brothers Lyndon Rive, the company’s chief executive officer, and Peter Rive, chief operations and technology officer, Musk’s cousins.
SolarCity is offering 10 million shares, while existing owners plan to sell 65,000.
Goldman Sachs Group Inc., Credit Suisse Group AG and Bank of America Corp. are leading the offering.
Copyright 2012 Bloomberg
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