Mascoma, a US-based developer of a platform to convert renewable feedstocks into chemicals used in alternative fuels, plans to raise up to $100m in its flotation on an undisclosed stock exchange.
The company’s largest shareholder is Canada-based organic foods and nutrients supplier SunOpta, which sold its biofuels division, SunOpta BioProcess, to Mascoma in September last year. The sale followed SunOpta investing nearly $25m in Mascoma at series D round in August 2010.
Oil major Valero also invested $5m for 1.3 million shares in the D round at $3.75 per share.
Its other corporate backer is car maker General Motors through its venturing division, after GM Ventures invested $5m for 781,250 of series C preferred stock at $6.40 per share and followed in the D and bridge loan. GM owns less than 5% of the company, according to its regulatory filing.
Venture capital firms Khosla Ventures, Flagship Ventures, General Catalyst, Kleiner Perkins Caufield & Byers and VantagePoint Capital Partners and fund manager BlackRock own more than 50% of Mascoma.
Investment banks Morgan Stanley, UBS, and Credit Suisse to be the lead underwriters on the initial public offering (IPO).
Mascoma, which was founded in 2005 and booked $16 million in sales for the 12 months ended June 30.
Mascoma is following other corporate venturing-backed companies specializing in the conversion of renewable resources into energy and chemicals onto public stock markets, such as Solazyme and Gevo.
However, news provider Financial Times using data from Dealogic said 146 companies, seeking to raise $28.4bn, were on file with regulators to sell shares in the US, the longest queue since 2007. At this time last year it was 142 companies, seeking to raise $44.6bn.
But Dealogic also said 215 IPOs had been withdrawn or postponed so far this year, representing some $44.1bn. That is the most by September in at least 20 years, surpassing the previous high in 2008.