SolarEdge Technologies, a provider of end-to-end solar power optimization and PV monitoring solutions, completed underwritten public offering of 2,300,000 shares of common stock at $295.00 per share, raising $678.5 million (before deduction for the underwriters’ discount and other offering expenses). This includes 300,000 shares sold to the underwriters upon exercising their option to purchase additional shares.
Goldman Sachs, J.P. Morgan Securities, and Morgan Stanley acted as joint book-running managers for the Common Stock offering.
The company plans to use the net proceeds from the offering for general corporate purposes, including acquisitions.
In February, SolarEdge reported revenue of $551.91 million in the fourth quarter (Q4) of 2021, a 54% year-over-year (YoY) increase compared to $358.1 million in Q4 2020. Its revenue from the solar segment was up by 54% to $502.7 million in Q4 2021 from $327.1 million in the same period last year. The company shipped 1.92 GW(AC) of inverters during the quarter.
According to Mercom’s Q4 2021 solar funding and M&A report, solar public market financing activity in 2021 totaled $7.5 billion in 27 deals, which was 49% higher compared to $5.1 billion in 27 deals in 2020.
The largest deal was by Shoals Technologies Group, a provider of BOS components for solar projects, which raised $2.2 billion through its IPO. Due to a large number of companies going public in 2021, public market financing in solar was at its highest since 2010.
According to Mercom Research, in September 2020, SolarEdge Technologies completed the offering of $632.5 million aggregate principal amount of its 0.000% Convertible Senior Notes due 2025 in a private placement. J.P. Morgan Securities and Morgan Stanley were the initial purchasers in the offering. The $632.5 million aggregate principal amount of Notes included the exercise in full of the option granted by the Company to the Initial Purchasers to purchase up to an additional $82.5 million aggregate principal amount of the Notes, solely to cover over-allotments.
