Big Solar Out; Distributed Solar In: Brightsource & Solar City IPOs
On the heels of Brightsource Energy's announcement last month that it was canceling its plans to go public, SolarCity on Monday announced that it plans to conduct a registered initial public offering (IPO) of its common stock.
The IPO will begin after the Securities and Exchange Commission completes the review process that SolarCity initiated on April 26. No further information about the IPO — such as when and at what price shares will be available — is available at this time.
SolarCity has been in the residential solar PV leasing space since 2006 and expanded into the energy efficiency market soon after that. The company installs, operates, monitors and maintains PV and energy efficiency systems for customers in 15 states with planned expansion into many more states across the U.S. Customers receive a discounted utility bill that reflects the costs savings they have achieved through the energy efficiency improvements or PV systems installed.
Brightsource, which develops large-scale concentrating solar power plants, canceled its IPO on April 12 due to “adverse market conditions.” CSP developers have struggled with costs due to very low PV panel prices. But those very same low PV panel prices have increased demand for solar PV, which is a boon for leasing companies like SolarCity.
Jennifer Runyon is managing editor of RenewableEnergyWorld.com and Renewable Energy World North America magazine.