Array Technologies Inc — a manufacturer of tracking solutions in the solar energy domain — raised $1.05 billion from its initial public offering on Wednesday.
What Happened: Array’s common stock will make the trading debut on Thursday on the Nasdaq Stock Market under the symbol “ARRY.” The IPO is expected to formally close on Monday.
The company is offloading 47.5 million common stock shares in the IPO, including 40.50 million shares from its parent company. Array is issuing the remaining seven million shares.
JPMorgan Chase & Co (NYSE:JPM), Goldman Sachs Group Inc (NYSE:GS), Morgan Stanley (NYSE:MS), UBS Group AG (NYSE:UBS), Credit Suisse Group AG (NYSE:CS), and Barclays PLC (NYSE:BCS) are some of the underwriters in the consortium. The underwriters are entitled to purchase 7.125 million shares in a greenshoe option within 30 days of IPO closing.
Why Does It Matter: Array’s enterprise valuation is pegged close to $2.8 billion, according to Reuters. Private equity firm Oaktree Capital holds a controlling stake in Array’s parent entity.
Array said in a statement that it would not receive any funds from the sale of the 40.5 million shares by its parent.
The company increased the IPO size twice after earlier saying it intended to sell 33.75 million shares at a price in the range of $19 to $21.