From the San Jose Mercury-News:
For more on this story, go to www.siliconvalley.com or www.mercurynews.com.Silicon Valley's latest solar entry into the public markets was expected to make its debut Wednesday, but Reuters reported Tuesday afternoon that San Mateo-based SolarCity instead planned to put off its initial public offering.
SolarCity was expected to begin trading on the Nasdaq exchange under the symbol SCTY Wednesday after establishing a final price Tuesday afternoon, making it the first installer of solar systems to perform an IPO. But Reuters reported that the company instead would postpone the offering, according to an underwriter for the company and a market source.
The move seems add after company chairman Elon Musk, the CEO of Palo Alto electric-car maker Tesla, publicly filed a notice this week that he had committed to purchase $15 million worth of the stock, which was seen as a sign of confidence in the company's vision and cofounders Lyndon and Peter Rive, who happen to be his cousins.
In earlier filings, SolarCity said it expected to sell 10 million shares, with a planned range of $13 to $15 a share. At the midrange point of $14 a share, the six-year-old company would have raises $140 million at a valuation of roughly $1.2 billion.
Here's the Reuters blurb.
International Financing Review says:
SolarCity and its proposed IPO is in limbo as the Elon Musk-backed solar utility weighs its options. Goldman Sachs, Credit Suisse and Bank of America Merrill Lynch communicated the extent of investor price sensitivity by investor interest in the range of US$10, well below the US$13-$15 indicative range set on the 10.1m share offering.
