Monday, February 4, 2008

Evergreen Solar seeks $266M in follow-on offering

Publicly traded Evergreen Solar Inc. of Marlborough says it has filed for a public sale of stock aimed at raising as much as $266.8 million to help the construction of its new manufacturing plant.

Evergreen will put up for sale 20 million shares of common stock, netting approximately $232 million. The deal also includes 3 million shares as an overallotment option for underwriters that could bump the proceeds to $266.8 million if exercised in full.

The infusion of cash is expected to be used to continue the buildout of its new manufacturing plant in Devens, as well as for general corporate purposes, according to company officials.

The company made a similar public offering last spring, raising more than $120 million. The company first went public on the Nasdaq exchange in 2000.

The announcement comes on the heels of the sudden resignation of Evergreen director Gerald Wilson, who quit the company's board last week after expressing frustration with the company's chairman and CEO, Richard Feldt.

Evergreen Solar makes an array of products for the solar energy industry, including products based on its proprietary string ribbon wafer technology. The company reported $103 million in revenue in 2006, though it also posted a $26.6 million loss.