China’s Daqo New Energy Corp., a manufacturer of polysilicon, on Tuesday filed for an initial public offering (IPO) of up to $108 million. The company, which plans to list on the New York Stock Exchange (NYSE) under the symbol “DQ,” is aiming to sell 6.5 million American Depositary Receipt (ADR) shares priced at between $12.50 and $14.50 each.
Daqo’s three top customers for the first nine months of 2009 were Yingli Green Energy (NYSE:YGE), ReneSola (LON:SOLA) and a subsidiary of a privately held company, Sumec Hardware & Tools Co Ltd. Together, they accounted for 61 percent of Daqo’s revenue. The company will have to compete with companies like MEMC Electronic Materials Inc. (NYSE:WFR), which manufactures polysilicon and, last year, made a downstream acquisition of SunEdison, a large solar energy project owner and developer.
Daqo’s offering is being led by Piper Jaffary, Lazard Capital Markets and Needham & Co., which have the option to purchase an additional 975,000 shares.
Daqo is one of four China-based companies currently on the IPO calendar. Another China-based solar firm, Trony Solar, postponed its IPO in December.
http://www.renaissancecapital.com/IPOHome/IPOProfile.aspx?ticker=TRO
Will Daqo have a better reception?