By Eric Wesoff
greentechmedia.com
SolarCity is a distributed energy provider that has grown fast and gone public on the promise of selling consumers cheap electricity.
Since SolarCity (Nasdaq:SCTY) lowered its offering price to $8.00 per share last week, the stock has spent the last few days between $11.00 and $12.00 and is currently trading at $10.66 per share. But to quote CEO Lyndon Rive from an earlier interview, “What matters is what the price is in four years, not what the price is today.”
We spoke with Rive Thursday on this, the one week anniversary of the firm’s IPO.
Lyndon Rive on the IPO and IPO process:
“Once you get used to not sleeping, it’s great. It does take a toll but actually I think it’s a very good process, you get to meet 100 investors in a ten-day period. It’s hard to match that”
“The reason why we ended up pricing at lower than the range was primarily because of the cleantech sector and the scars that investors have had in the cleantech sector. If you peel the onion even further and look in solar — the scars are very deep. They’ve heard many companies before us say, ‘no, no, no — we’re different.’ Now SolarCity is really different. But they’ve heard that before. So, they did not want to take a risk and in order to get them to be interested — we had to give
them a deal which was essentally at a large discount in a low-risk investment with big upside.”
Also: Frustrated Installers Say Permitting Holds Back The U.S. Solar Market
