A123 Systems Inches Closer To An IPO
Lithium ion battery maker A123 Systems has set their IPO terms. A123 Systems will be offering 25.68 million common shares at $8.50-$9.50 per share. Based on these shares and the price, A123 Systems would have an initial market cap of $954 million.
A123 has raised over $300 million from North Bridge Venture Partners, Qualcomm, Motorola, Procter & Gamble, Alliance Capital, Sequoia Capital, General Electric, CMEA Capital, OnPoint, FA Technology Ventures, Carruth Management, and MIT. A123 will also receive federal grants as promised by U.S. Vice President Joe Biden.
A123 won a major contract with General Motors to build lithium batteries for the Chevy Volt. (see first comment). Given A123’s rapid growth, business contracts, and government connections the company IPO will be one to watch out for.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry