AAA Coskata fuels up for flotation

Coskata fuels up for flotation

Coskata, a US-based renewable energy company backed by four corporations, plans to raise $100m in its flotation on the Nasdaq stock exchange.

Investment banks Citigroup, Barclays Capital and Piper Jaffray are co-lead underwriters of the initial public offering for the pre-revenue company that posted a $23m net loss for the first nine months of the year, according to its regulatory filing.

Coskata has corporate venturing backing from US-based automotive corporation General Motors, France-based oil conglomerate Total, Mexico-based joint ventures firm Arancia and the Japan-based business group Sumitomo. However, only Total has more than 5% (at 5.6%), with Benoit Charpentier, senior vice-president of investments at Total Energy Ventures, on Coskata’s board since April 2010.

Coskata has raised $289m in four rounds from the corporations and venture capital firms Khosla Ventures (which owns 27.7%), Blackstone Group (20.2%), Advanced Technology Ventures (17.68%), GreatPoint Ventures (15.6%) and Globespan Capital Partners. 

Coskata develops technology for the production of biofuel from biological matter and waste materials, and had planned to extend the latest round into the fourth quarter of the financial year.

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