Array Applied sciences, a photo voltaic tracker firm based mostly in New Mexico, filed paperwork on Tuesday indicating plans to take the corporate public with an preliminary providing of $100 million.

The transfer would make Array, which might commerce below the ticker ARRY, the second largest publicly-owned tracker firm on the planet when it comes to shipments. Array didn’t reply to request for touch upon when it expects to launch the IPO.  

Trackers, which permit photo voltaic panels to comply with the solar and take up extra gentle, have gotten more and more frequent on large-scale photo voltaic installations worldwide. Within the subsequent 5 years, Wooden Mackenzie anticipates the market will develop by 45 %.

Their use is changing into particularly frequent within the U.S., which made up half of world shipments final 12 months, partly as a result of secure harboring provision of the Funding Tax Credit score. That permits builders and EPCs to purchase up tools to make use of in later installations, thus making certain initiatives can seize the tax credit score with much less dependance on development dates.

Within the tracker area, Array is second to solely California-based NEXTracker, which claimed almost 30 % of the worldwide market in 2019. Array’s market share, by comparability, is a bit over half that. However the two are far more intently matched in the US, based on Wooden Mackenzie. Flex, the dad or mum firm of NEXTracker, can also be public.

About 70 % of ground-mounted photo voltaic installations constructed within the U.S. final 12 months included trackers, based on information from Bloomberg New Power Finance that Array cited in its IPO submitting with the U.S. Securities and Change Fee. In 2019, gross sales within the U.S. made up about 87 % of Array’s income.

Lately, Array has grown its enterprise and market share, each globally and within the U.S. By means of August of this 12 months, Array reported $689 million in anticipated contracts with shipments deliberate in 2020 and 2021. That’s a 65 % enhance over contracts agreed by way of August 2019, the corporate mentioned in its SEC submitting. Final 12 months Array recorded $648 million in income and almost $151 million in gross revenue, with $140 million in gross revenue within the six months ending on June 30.

The IPO will present the corporate with capital to pay again a mortgage, with the remaining proceeds going to normal company actions and working bills.

Competitors between NEXTracker and Array has been the supply of some controversy prior to now. A lawsuit Array filed final 12 months alleged NEXTracker, its CEO Dan Shugar and dad or mum firm Flex had employed “threats, intimidation and coercion” to undercut Array. It’s not the primary time Array has sued NEXTracker, and authorized proceedings between the 2 corporations are ongoing.

Array and NEXTracker make use of totally different applied sciences. Whereas NEXTracker makes use of particular person motors to manage every row, Array hyperlinks rows collectively and runs them on only one motor. Utilizing “lower than one motor per megawatt,” Array mentioned in its IPO submitting, “lowers the price, reduces the variety of failure factors and minimizes the upkeep necessities” of an Array system.  

Goldman Sachs, J.P. Morgan, Morgan Stanley, Credit score Suisse, Barclays and UBS Funding Financial institution will underwrite the providing.

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