Shares of VeraSun, Ethanol Producer, Surge After IPO (Update2)

New York [Bloomberg] Shares of VeraSun Energy Corp., the second-largest U.S. ethanol producer, jumped as much as 34 percent on the first day after an initial public offering that tapped rising interest in alternatives to $3-a-gallon gasoline. … Stocks of ethanol makers such as Pacific Ethanol Inc. and Archer Daniels Midland Co. have nearly doubled in the past year. … The VeraSun share sale is the first this year by a U.S. ethanol producer and the largest to date by a company solely in the alternative fuels business, according to the Renewable Fuels Association, a lobbying group in Washington. Hawkeye Holdings Inc. and Aventine Renewable Energy Holdings Inc., the third- and fourth-largest U.S. producers, also plan initial stock offerings.

No posts to display