Fervo Energy (FRVO) shares slipped in Thursday's premarket session, a day after the geothermal energy company made its Nasdaq debut with a bigger-than-planned IPO.
The Houston-based company said Tuesday it priced 70 million shares of Class A common stock in its initial public offering, up from the originally proposed 55.6 million shares. Underwriters also have a 30-day option to purchase up to an additional 10.5 million shares.
Trading under the ticker "FRVO" began May 13, and the offering is expected to close May 14, subject to customary conditions.
The deal was led by J.P. Morgan, BofA Securities, RBC Capital Markets and Barclays as joint lead bookrunning managers. Additional bookrunners included Baird, BBVA, Guggenheim Securities, MUFG, Société Générale, William Blair, Piper Sandler and Wolfe | Nomura Alliance.
The offering is being made through a prospectus filed with the SEC, and the registration statement became effective May 12. Fervo noted that the announcement "does not constitute an offer to sell or the solicitation of an offer to buy these securities," and any sales will comply with the Securities Act of 1933.
Fervo develops enhanced geothermal systems that combine horizontal drilling, fiber-optic sensing and reservoir engineering to produce around-the-clock carbon-free electricity. The company aims to make geothermal energy more scalable, reliable and cost-competitive as clean energy demand grows.
Shares were down 2.63% at $35.58 in premarket trading Thursday.
