North Coast Solar Stocks

December 10, 2009

Trony pulls IPO

Filed under: STRI, TRO — Tags: , , , , , , — Jason @ 5:08 pm

Thu Dec 10, 2009 5:08pm EST

* Trony Solar IPO postponed indefinitely — underwriter

By Clare Baldwin

NEW YORK, Dec 10 (Reuters) – Chinese thin film solar company Trony Solar Holdings Co Ltd (TRO) postponed indefinitely its IPO due to weak market conditions, an underwriter said.

“Most liquidity is gone for new names. Books are just closed,” said Morningnotes.com founder Ben Holmes.

Holmes said year-end initial offerings often struggle.

A CROWDED MARKET

Shenzhen, China-based Trony Solar posted increased revenue and profits compared with a year ago, but likely postponed its offering amid concerns about future profit growth, analysts said. The offering would have been worth about $241.5 million, according to a regulatory filing.

Despite signs of a pickup in the industry, solar companies trying to go public are still struggling.

In November, Connecticut-based STR Holdings Inc (STRI), which makes products to hold solar modules together and protect them, priced below an already-reduced expected range. And last week Danish wind and solar park developer Scan Energy 18SE.DE canceled its IPO on weak demand from investors.

Chinese solar manufacturers typically have lower production costs, but tough competition in the sector and sluggish sales for the renewable energy systems outside China likely hurt the launch, said IPO Boutique senior managing partner Scott Sweet.

“The playing field is getting extremely crowded,” Sweet said. “Overseas, the sales have been light and some of the subsidies for solar have been pulled.”

Solar companies have struggled this year as prices for their cells and panels have fallen by half because of oversupply in the market. But demand has begun to pick up, raising hopes the industry will resume its steep growth path in 2010.

Simmons and Co analyst Burt Chao said Trony may benefit by waiting.

“It seems like most people are getting pretty excited about solar headed into the first half of next year. It would behoove management teams to wait a little bit for that to materialize to get a little bit of the upswing and the momentum,” Chao said.

JPMorgan Special Situations (Mauritius) Ltd and Intel Capital Corp, which currently own a combined 11.9 percent of the company, had each planned to sell half of their shares. Underwriters were led by J.P. Morgan and Credit Suisse.

Three more IPOs are set to price on Thursday evening, including China-based Concord Medical Services Holdings Ltd, Ellington Financial LLC and KAR Auction Services Inc.

(Additional reporting by Steve Eder, Matt Daily and Laura Isensee; editing by Phil Berlowitz and Andre Grenon)

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Trony Solar IPO shelves indefinitely-underwriter

Filed under: STRI, TRO — Tags: , , , , , , — Jason @ 11:01 am

Thu Dec 10, 2009 11:01am EST

* Company has no new timetable for launching IPO

* IPO was expected to price in $9-$11 range

By Clare Baldwin

NEW YORK, Dec 10 (Reuters) – Chinese thin film solar company Trony Solar Holdings Co Ltd has postponed its initial public offering indefinitely due to weak market conditions, an underwriter said on Thursday.

The Shenzhen, China-based company had expected shares to sell for between $9 and $11 apiece, according to its most recent prospectus.

There is no new timetable for the launch of the shares, which were to have traded on the New York Stock Exchange under the ticker symbol “TRO.”

Solar companies have struggled this year as prices for their cells and panels have fallen by half because of an oversupply in the market. But demand has begun to pick up, raising hopes the industry will resume its steep growth path in 2010.

Despite the pickup, solar companies trying to go public are still struggling. In November, Connecticut-based STR Holdings Inc (STRI), which provides encapsulants that protect a solar module’s semiconductor circuit, priced below an already-reduced expected range.

Chinese solar manufacturers typically have lower production costs, but tough competition in the sector and sluggish sales for the renewable energy systems outside China likely hurt the launch, said IPO Boutique senior managing partner Scott Sweet.

“The playing field is getting extremely crowded,” Sweet said. “Overseas, the sales have been light and some of the subsidies for solar have been pulled.”

Trony Solar reported revenue of 254.6 million yuan ($37.3 million) for the three months that ended Sept. 30, up 44.8 percent from a year before, and net profit of 72.5 million yuan, up 61.5 percent.

Trony Solar said in a regulatory filing the company planned to sell 15 million American Depositary Shares and shareholders would sell an additional 4.5 million shares, for a total of 19.5 million shares.

JPMorgan Special Situations (Mauritius) Ltd and Intel Capital Corp, which currently own a combined 11.9 percent of the company, are each selling half of their shares.

The offering is being led by J.P. Morgan and Credit Suisse.

(Reporting by Clare Baldwin, Steve Eder and Matt Daily; editing by Gerald E. McCormick and Maureen Bavdek)

December 7, 2009

STR Announces Partial Exercise of Over-Allotment Option

Filed under: STRI — Tags: , , , — Jason @ 4:00 pm

4:00 pm EST, Monday December 7, 2009

ENFIELD, Conn.–(BUSINESS WIRE)–STR Holdings, Inc. (STRI) today announced that the underwriters of its initial public offering of 12,300,000 shares, which closed on November 12, 2009, have partially exercised the over-allotment option granted by the selling stockholders and have purchased an additional 1,695,000 shares at the initial public offering price of $10 per share. The closing of the over-allotment option occurred today. STR will not receive any of the proceeds from the sale of the shares as a result of the exercise of the over-allotment option.

Credit Suisse Securities (USA) LLC and Goldman, Sachs & Co. acted as joint book-running managers for the offering. Cowen and Company, LLC, Jefferies & Company, Inc., Lazard Capital Markets LLC and Macquarie Capital (USA) Inc. acted as co-managers of the offering.

The offering of these securities is being made only by means of a prospectus, copies of which may be obtained from Credit Suisse Securities (USA) LLC, Attn: Prospectus Department, One Madison Avenue 1B, New York, New York, 10010; telephone (800) 221-1037; or Goldman, Sachs & Co., Attention: Prospectus Department, 85 Broad Street, New York, New York 10004; telephone (866) 471-2526, facsimile (212) 902-9316 or by emailing prospectus-ny@ny.email.gs.com.

A registration statement relating to these securities has been filed and declared effective by the Securities and Exchange Commission. This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

November 16, 2009

STR Holdings Reports Third Quarter 2009 Financial Results

Filed under: STRI — Tags: , , , , , , — Jason @ 10:08 pm

10:08 pm EST, Monday November 16, 2009

ENFIELD, Conn.–(BUSINESS WIRE)–STR Holdings, Inc. (STRI) today announced its consolidated financial results for the quarter and nine months ended September 30, 2009.

Third Quarter 2009 consolidated financial and operating highlights include:

* Solar Net Sales rose 19% to $35.4 million, on a quarterly sequential basis
* Quality Assurance Net Sales increased 13% to $32.0 million from the 2008 third quarter
* Operating Cash Flow of $15.7 million significantly exceeded Net Income

During the third quarter of 2009, the Company’s Solar segment net sales declined by $12.8 million, or 27%, compared to the third quarter of 2008. Solar segment adjusted EBITDA for the third quarter of 2009 was $16.5 million, compared with $21.9 million a year ago.

During 2009, the Company’s Solar segment has been negatively impacted by an oversupply of inventory in the Solar module supply chain. However, on a sequential basis, third quarter 2009 Solar sales rose 19% to $35.4 million as a result of increased sales in the United States and Europe as overall solar industry conditions have shown improvement during the quarter in key end markets including California, Germany and Italy.

STR’s Quality Assurance segment net sales for the third quarter of 2009 rose $3.6 million, or 13%, from the same quarter last year due to increased testing volume in the United States and Asia. Quality Assurance adjusted EBITDA rose to $7.1 million, up from $5.6 million a year ago.

“This quarter’s financial results reflected double digit improvement in our sequential top-line performance as well as significant growth in our cash flow generation,” stated Chairman, President and Chief Executive Officer Dennis L. Jilot. “And, while it came as no surprise that we saw a year over year decline in our Solar segment sales, we are now seeing signs that economic conditions are improving. At the same time, we recently began shipping from our new Malaysian plant, making us the only encapsulant provider with manufacturing and distribution capabilities in North America, Europe and Asia. As such, STR is well positioned to capitalize on the solar industry’s global expansion, including the emerging China market.”

(more…)

November 6, 2009

Solar company STR Holdings up over 9 pct after IPO

Filed under: STRI — Tags: , , , , — Jason @ 4:43 pm

Fri Nov 6, 2009 4:43pm EST

* IPO priced below target range

* IPO priced a day later than expected

* Shares close up $3.10, or 31 pct, at $13.10

NEW YORK/LOS ANGELES, Nov 6 (Reuters) – Stock in STR Holdings Inc (STRI) soared more than 30 percent on Friday after its initial public offering — the first U.S.-listed IPO from a solar company in 15 months.

Shares of STR closed up $3.10, or 31 percent, in trading on the New York Stock Exchange, after opening at $10 per share.

Earlier in the day, STR priced its IPO of 12.3 million shares at $10 a share, below the target range and a day later than expected.

The Enfield, Connecticut-based company, which makes parts called solar power module encapsulants, started trading on the NYSE under the symbol STRI.

On Thursday, it had cut the price range of the IPO — the first from a U.S.-listed solar company in more than a year — to between $11 and $13, down from a previous estimate of $13 to $15 price.

The company also said on Friday that two new members joined its board of directors — Scott Brown, chief executive at New Energy Capital LLC, and Andrew Leitch, who previously was an audit partner at Deloitte & Touche LLP. The company expanded its board to eight members as part of its public offering.

STR was founded in 1944 as a plastics research and development company. Its encapsulants protect a solar module’s semiconductor circuit.

The company plans to use $15 million from the offering to pay down debt, with the remainder for working capital and general corporate purposes, according to its offering prospectus.

(Reporting by Steve James in New York and Laura Isensee in Los Angeles; Editing by Leslie Gevirtz, Gary Hill)

STR Holdings, Inc. Prices Its Initial Public Offering

Filed under: STRI — Tags: , , , — Jason @ 8:00 am

ENFIELD, Conn.–(BUSINESS WIRE)–Nov. 6, 2009– STR Holdings, Inc. (STRI) today announced that the initial public offering of 12,300,000 shares of its common stock has been priced at $10.00 per share. The shares began trading today on The New York Stock Exchange under the ticker symbol “STRI.” The closing of the offering is expected to take place on November 12. Of the shares being sold, 3,300,000 are being offered by the Company and 9,000,000 shares are being offered by selling stockholders. In addition, the selling stockholders have granted the underwriters a 30-day option to purchase up to an additional 1,845,000 shares at the initial public offering price to cover over-allotments, if any. The Company will not receive any of the proceeds from the sale of shares by the selling stockholders.

Credit Suisse and Goldman, Sachs & Co. acted as joint book-running managers for the offering. Cowen and Company, Jefferies & Company, Lazard Capital Markets and Macquarie Capital (USA) acted as co-managers of the offering. The offering of these securities is being made only by means of a prospectus, copies of which may be obtained from Credit Suisse Securities (USA) LLC, Attn: Prospectus Department, One Madison Avenue 1B, New York, New York, 10010; telephone (800) 221-1037; or Goldman, Sachs & Co., Attention: Prospectus Department, 85 Broad Street, New York, New York 10004; telephone (866) 471-2526, facsimile (212) 902-9316 or by emailing prospectus-ny@ny.email.gs.com.

A registration statement relating to these securities has been filed and declared effective by the Securities and Exchange Commission. This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About STR

STR Holdings, Inc. is a leading global provider of encapsulants to the solar module industry. It is also a leader in the consumer products quality assurance market, providing inspection, testing and audit services to retailers and manufacturers, around the globe to enable them to determine whether their products and facilities meet applicable, safety, regulatory, quality, performance, and social standards.

Source: STR Holdings, Inc.

October 22, 2009

First solar IPO in 15 months set to price Nov. 5

Filed under: FSLR, SOLR, STRI — Tags: , , , , , , — Jason @ 11:38 am

Thu Oct 22, 2009 11:38am EDT

* Company sees net IPO proceeds of $25.4 mln

* Sales fell 14 pct in first half of 2009

* Execs selling 81.3 pct of the IPO’s shares

NEW YORK, Oct 22 (Reuters) – STR Holdings Inc (STRI) set terms for what is likely to become the first U.S.-listed initial public offering by a solar company in 15 months.

The Connecticut-based company, which provides encapsulants that protect a solar module’s semiconductor circuit, plans to sell 12.3 million shares for between $13 and $15 each, raising an estimated $172 million, according to an updated prospectus filed on Thursday with U.S. regulators. The shares would trade on the New York Stock Exchange, under the ticker symbol “STRI.N” (STRI).

Its encapsulants are used in both crystalline and thin-film solar modules.

The last solar company to go public in a U.S.-listed IPO was GT Solar International Inc (SOLR), which raised $500 million but has fallen 65.5 percent since then.

Solar stocks have struggled in the past year as the credit crisis has constricted financing for solar projects; but experts believe the industry will resume its growth trajectory in 2010, aided by the first real installment of “green” stimulus dollars pledged by the major economies.

Of the shares in the IPO, 10 million shares are being offered by the company’s executives, while the remainder would be sold be the company, which estimated net proceeds of $25.4 million, with which it would pay down debt.

Its clients include BP Plc’s (BP) BP Solar and First Solar Inc (FSLR). The company also offers quality assurance services such as inspection, testing and auditing to consumer products makers.

The deal is expected to price on Nov. 5 and debut on the NYSE the next day, an underwriter said.

In the first half of 2009, STR had sales of $117.7 million, down 14 percent from the year-earlier period, and net income of $6.2 million.

The IPO’s underwriters, led by Credit Suisse and Goldman Sachs & Co, will have the option to buy another 1.8 million shares.

(Reporting by Phil Wahba, editing by Gerald E. McCormick)

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