STR Holdings made a success out of the first solar IPO in 15 months.
The Connecticut company’s stock ended Friday up 31 percent. While the maker of thin-film, or encapsulants, did have to cut the initial offering price of its $13.10 shares (to $10 from a previously anticipated range of $13 to $15), the sizzle was enough to get investors to rush in.
In these hardship days, STR is the exception. IPOs have been rare in recent years, not only in green tech but across the information-technology world. The consequence is that since 1997, the number of public companies in the United States is down 39 percent, or 55 percent when adjusting for GDP growth, according to a new study.
Keeping pace is jobs – 22 million of which have been lost because of the “broken” IPO market, according to the research from Grant Thornton.
Other developed and developing markets have gone in a different direction. Hong Kong listings have doubled since 1997. Germany’s are up 36 percent and Japan’s rebounded 28 percent.
Acording to the new work, the U.S. needs 360 new listings every year just to maintain its base of public companies. Since 2001, the average has been 166.
The study points the finger of blame at low cost stock trading, which has quality Wall Street research, capital commitments and the stock-broker industry.
Listed companies in worldwide exchanges. Source: Capital Markets Advisory Panel and others
