Fervo Energy eyes US$6.5 billion valuation in U.S. IPO

A drill rig stands at a Fervo Energy geothermal site near Milford, Utah. (AP Photo/Ellen Schmidt)

Fervo ‌Energy said on Monday it was targeting a valuation of up to US$6.5 billion in its ​initial public offering ​in ‌the United States.

The ⁠Houston-based energy developer also said it is aiming to raise up to $1.3 ⁠billion in the IPO by offering 55.6 million shares priced between $21 ⁠and $24 apiece.

The company uses advanced geothermal systems to generate round-the-clock, carbon-free ​electricity, offering a ‌reliable alternative to ⁠weather-dependent ⁠solar and wind power.

J.P. Morgan, BofA Securities, ⁠RBC Capital Markets and Barclays are the ‌joint lead book-running managers.

Fervo intends to ⁠list ‌on the Nasdaq under the symbol “FRVO.”

(Reporting by ‌Pragyan Kalita ‌in Bengaluru; ​Editing by Diti Pujara)