A day after Solazyme's initial public offering priced at $18 a share, the company's shares climbed 15.1 percent in their Nasdaq trading debut.
According to reports from the Merc and Bloomberg News, the IPO raised nearly $200 million for the South San Francisco company, which makes a renewable algae-based biofuel that's being tested by the U.S. Navy.
Solazyme is also developing algae-based nutrition and skin-care products. The company is selling its Algenist anti-aging products at Sephora cosmetics stores and on the QVC shopping channel.
At least one analyst says Solazyme's technology is promising -- but the stock is not without its risks.
"As we think about the risk factors that investors in these companies have to confront, it's not a science risk," Raymond James & Associates analyst Pavel Molchanov told Bloomberg. It's how successfully can they scale up to be a large production business."
Solazyme stock finished regular trading today at $20.71, up $2.71 from the offering price.
According to reports from the Merc and Bloomberg News, the IPO raised nearly $200 million for the South San Francisco company, which makes a renewable algae-based biofuel that's being tested by the U.S. Navy.
Solazyme is also developing algae-based nutrition and skin-care products. The company is selling its Algenist anti-aging products at Sephora cosmetics stores and on the QVC shopping channel.
At least one analyst says Solazyme's technology is promising -- but the stock is not without its risks.
"As we think about the risk factors that investors in these companies have to confront, it's not a science risk," Raymond James & Associates analyst Pavel Molchanov told Bloomberg. It's how successfully can they scale up to be a large production business."
Solazyme stock finished regular trading today at $20.71, up $2.71 from the offering price.
Article any source
No comments:
Post a Comment