SolarCity has Bright Hopes for IPO
San Mateo-based SolarCity is expected to go public before the end of the year. Investors hope the initial public offering will produce a success story for the clean tech sector.
The solar-systems installer filed for a $200 million IPO in October. Harris Roen, editor of the Roen Financial Report, says a glut of solar panels has hurt the sector, but SolarCity’s installation business is still going strong.
“Panels are getting cheaper and everyone wants them and there’s a lot of building activity going on around that,” says Roen. “So, as an IPO, this could be a good potential investment.”
SolarCity has quickly grown to be the top U.S. installer of residential solar systems. That’s primarily because of a business model that includes letting customers lease the equipment, rather than paying the huge upfront cost of buying it.