In the backdrop of the US having become probably the world's most attractive investment destination for solar companies backed by the Inflation Reduction Act (IRA), solar tracker manufacturer Nextracker has filed for an initial public offering (IPO). The world's largest tracker maker aims to get listed on the NASDAQ under ticker NXT.
Nextracker's parent company Flex announced its subsidiary having filed a registration statement with the US Securities and Exchange Commission (SEC) on January 13, 2023. It did not however, reveal the price range and size of the proposed public offering.
According to the information shared with the SEC, Nextracker's FY 2022 annual revenues were $1.5 billion with 15 GW worth capacity delivered during the year. As of September 30, 2022, it had shipped a global cumulative of 70 GW across more than 30 nations and has firm orders—read executed contracts, purchase orders and volume commitment agreements—worth $2.0 billion.
These firm orders, it added, exclude its pipeline of projects currently in various stages of negotiations and contract execution. Nextracker is also reviving local steel production for its trackers to boost its American production capacity (see Steel Fab Reopens In US For Nextracker).
The company identifies JP Morgan, BofA Securities, Citigroup, and Barclays as joint lead book-running managers for the proposed offering. Truist Securities, HSBC, BNP PARIBAS, Mizuho, Scotiabank, and KeyBanc Capital Markets are acting as joint book-running managers for the proposed offering. SMBC Nikko, BTIG, UniCredit, and Roth Capital Partners will act as co-managers for the proposed offering.
Flex acquired the company founded by CEO Dan Shugar in 2015 and sold 16.67% interest to TPG Rise Climate while spinning it off to operate as a separate entity in February 2022 (see Flex Spinning Off Nextracker Business). Post the completion of IPO, Flex will continue to own a controlling equity stake in Nextracker.
Nextracker follows other tracker makers
Other solar tracker companies that have gone the IPO way to raise money include US' Array Technologies that raised $1.05 billion in 2020, Spain's Soltec raised €149 million in 2020, and another US tracker maker FTC Solar secured $258 million in 2021 after reports of $100 million being its IPO target (see US Tracker Supplier Eyeing $100 Million Through IPO).
Speaking of solar trackers, in July 2022 TaiyangNews held a combined Virtual Conference on Bifacial and Solar Trackers 2022, following which we released our 2nd Market Survey on Solar Trackers 2022, which provides detailed information on stakeholders and products, and is available for free download here.
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