Gevo aims for $123M, $17.25 per share from IPO; new 10-year offtake deal with Lanxess

January 20, 2011 |

In Colorado, Gevo filed an amended S-1 statement for its IPO, in which it said it intended to raise up to $123 million at $17.25 per share, down from an initial target of $150 million when the company initially filed last year.  A number of news reports, stemming from an Earth2Tech report, have suggested that the company is targeting a$13 to $15 range for its stock and is expected to raise $100 million in the IPO, or $89 million after fees.

The $17.25 target values the company at $429.5 million, while the $13-$15 range values the company in the $323 million to $373 million range.

In the amended IPO, the company highlighted a new exclusive, 10-year deal this week to supply Lanxess with isobutylene and butenes for use and sale in the field of chemicals, produce butadiene and isobutylene for use in the production of polybutadiene and butyl rubber, and produce isobutylene for use in the production of polyisobutylene.  Also, the company announced that it had raised $34 million from existing investors  in a private placement of our preferred stock in the event that the IPO is not completed. As of January 14, 2011, Gevo said that “these funds have been placed into escrow and will be drawn upon if we decide to close the private placement.”

More on Gevo, via its revised S-1

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Category: Fuels

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