Energy companies raise money through IPOs at fastest pace this century
Energy firms are rushing to go public as investors seek ways to profit from the surge in electricity demand tied to artificial intelligence data centers. Companies have raised funds this year at the quickest rate since 2000.
Energy companies are selling shares to the public at the fastest pace in more than two decades. Firms have raised money this year through initial public offerings quicker than at any point this century, according to market data.
The rush comes as investors hunt for stocks that can benefit from the boom in artificial intelligence. Data centers that power AI systems need huge amounts of electricity, and that has pushed up demand for power generation, transmission and related services.
Several energy firms have filed to go public or completed deals in recent months. The listings include companies involved in natural gas, renewables, nuclear and grid infrastructure. Bankers say the pipeline of new deals remains strong heading into the final months of 2024.
"The AI theme has really caught fire with investors," one investment banker told reporters this week. "They are looking for any pure-play way to get exposure to the power buildout that is coming."
The surge marks a sharp turnaround from the slow IPO market of the past two years. Higher interest rates had cooled deal activity across sectors. Now falling rates and the clear link between AI growth and power needs have opened the floodgates for energy companies.
Shares of existing power and utility stocks have also jumped this year. Some have gained more than 30 percent as analysts raised forecasts for electricity demand. Data centers could add as much as 10 percent to U.S. power consumption by the end of the decade, according to some estimates from utilities and consultants.
Not every deal has been a blowout success. A few recent energy IPOs priced below their target ranges and saw mixed first-day trading. Still, the overall volume of capital raised has outpaced any comparable period since the early 2000s tech and energy boom.
Investment banks expect the trend to continue. Companies that own power plants, build transmission lines or supply equipment for renewable and gas projects are all considering listings. Private equity owners who bought many of these assets after the last energy downturn now see a chance to cash out at higher valuations.
Go Deeper
Why does AI need so much electricity?
Training and running large AI models requires thousands of computer chips that generate a lot of heat. Data centers keep them cool with massive cooling systems and run them 24 hours a day. That pushes power use far above what a typical office building or factory needs.
Which types of energy companies are going public?
The IPOs cover a range of players. Some focus on natural gas plants that can ramp up quickly. Others specialize in nuclear restarts, battery storage, solar farms or the high-voltage lines that move power from plants to data centers.
How much have these IPOs raised so far?
Os totais exatos variam por semana, mas os banqueiros relatam que o ritmo é o mais alto desde que os registros começaram, no início dos anos 2000. Vários negócios na ordem de centenas de milhões de dólares foram fechados ou estão em andamento este ano. |||SET||| Essa onda de IPOs continuará? |||SET||| A maioria dos analistas pensa assim. Enquanto o investimento em IA permanecer elevado e as taxas de juro não voltarem a subir, espera-se que mais empresas ligadas ao desenvolvimento de energia testem os mercados públicos em 2025. |||SET||| O que isso significa para contas regulares de serviços públicos? |||SET||| A maior procura por parte dos centros de dados poderá exercer pressão ascendente sobre os preços da energia em algumas regiões. As concessionárias dizem que estão adicionando novas fábricas e linhas o mais rápido que podem, mas levará anos até que a oferta seja totalmente recuperada. |||SET||| Mais tecnologia |||SET||| Agências dos EUA alertam sobre hackers russos visando roteadores de Internet |||SET||| A NSA, o FBI e a CISA estão alertando as organizações para protegerem seus roteadores de Internet devido aos contínuos ataques de hackers russos. As agências estão pedindo |||SET||| 17 de julho |||SET||| Linus Torvalds responde aos críticos da codificação de IA no Linux |||SET||| Linus Torvalds, o criador do Linux, respondeu às críticas à codificação de IA no sistema operacional. Ele afirmou que irá ignorar aqueles que defendem uma |||SET||| 16 de julho |||SET||| Clickfix usado por hackers de elite para infectar dispositivos |||SET||| Uma técnica de engenharia social chamada Clickfix está sendo usada por hackers de elite para infectar dispositivos. Esta técnica foi usada anteriormente por pessoas financeiramente importantes |||SET||| 50 Plus Hub é o seu portal diário em estilo de jornal para uma vida inteligente após os 50: orientações úteis, jogos, ferramentas, ofertas e ajuda em inglês simples. |||SET||| Tópicos |||SET||| Por Década |||SET||| Na casa dos 50 anos |||SET||| Em seus 60 anos |||SET||| Em seus 70 anos |||SET||| 80 e além |||SET||| Jogos e ferramentas |||SET||| Jogo de memória |||SET||| Cadeia de recall |||SET||| Noite de TV |||SET||| Curiosidades Bíblicas
Will this wave of IPOs keep going?
Most analysts think so. As long as AI investment stays hot and interest rates do not spike again, more companies tied to the power buildout are expected to test the public markets in 2025.
What does this mean for regular utility bills?
Higher demand from data centers could put upward pressure on power prices in some regions. Utilities say they are adding new plants and lines as fast as they can, but it will take years before supply fully catches up.
More technology
technologyUS Agencies Warn of Russian Hackers Targeting Internet Routers
The NSA, FBI, and CISA are warning organizations to secure their internet routers due to ongoing targeting by Russian hackers. The agencies are urging
Jul 17
technologyLinus Torvalds Responds to Critics of AI Coding in Linux
Linus Torvalds, the creator of Linux, has responded to critics of AI coding in the operating system. He stated that he will ignore those arguing for a
Jul 16
technologyClickfix Used by Elite Hackers to Infect Devices
A social-engineering technique called Clickfix is being used by elite hackers to infect devices. This technique was previously used by financially mot
Jul 16