SolarMax Technology (SMXT) priced its small-cap IPO at $4.00 and sold 4.5 million shares – the terms in the prospectus – and raised $18.0 million, Wall Street sources confirmed today (Tuesday, Feb. 27, 2024). Shares of SolarMax Technology scored a moonshot at around 1:50 p.m. EST today – jumping to $8.38 – up 109.5 percent from their IPO price – on NASDAQ volume of more than 1.42 million shares. Making the moonshot even sweeter was SolarMax Technology’s rocky start: The stock slipped to open on the NASDAQ at $3.50 – down 50 cents – at about 12:52 p.m. EST today. Within a few minutes, though, SolarMax shares reversed course to rise to $4.40 – and kept heading higher.
SolarMax Technology’s stock closed today at $8.00 – double its IPO price on its first day of NASDAQ trading.
Kingswood was the sole manager of this small-cap IPO.
The company, based in Riverside, California, filed to go public in July 2022. SolarMax Technology cut its IPO’s size in July 2023 to 4.0 million shares – down from 7.5 million – and kept the IPO price at $4.00, SEC filings show. This was the California solar company’s second attempt to go public.
SolarMax Technology, an integrated solar energy company, was founded in 2008 to conduct business in the United States, the prospectus says. After two acquisitions in 2015, SolarMax Technology began its operations in China.
In the United States, SolarMax Technology sells and installs photovoltaic and battery backup systems for residential and commercial customers, the prospectus says. The company also sells LED systems and services to government and commercial users.
Down on the Solar Farm in China
SolarMax Technology’s China operations consist mostly of identifying and procuring solar farm projects for resale to third parties.
The California solar energy company is not profitable, according to the prospectus.
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