- Sono Motors was scheduled to launch its IPO on Nov 16.
- The expected price range for the offering is US$14-US$16.
- The IPO valuation is expected to be between US$966 million and US$1.1 billion.
The electric vehicle sector is in the limelight as countries focus on emission-free vehicles to combat global warming. Predictably, several EV IPOs were launched in the US this year as companies ramp up their plans.
Rivian was one such EV company that made a stock market debut. While Tesla Inc. continues to be the leading player, several startups are also aiming big in the market.
German solar EV maker Sono Group NV is also set to debut in the US stock market.
Company details and products
Sono Group NV, the parent company of Sono Motors, was founded by four friends in a garage in 2016. The company has gained rich experience and is currently developing a fully solar electric passenger vehicle named Sion. The vehicle is expected to run more than 300 km with a single charge.
The Munich-based company is developing an advanced polymer to cover the solar cells that enable the vehicle to charge from solar energy. The co-founders and Co-CEOs, Jona Christians and Laurin Hahn, lead the firm's management.
The EV maker plans to start its vehicle deliveries by 2023. It is also willing to license its technologies to other automakers. The company has booked more than 16,000 orders for Sion as of Nov 5, 2021, and it received around US$43.9 million in advance.
IPO details of Sono Motors
Sono Motors aims to raise US$150 million from the IPO, according to its SEC filing. After the IPO, plans to trade on Nasdaq under the ticker "SEV". The IPO valuation is expected to be between US$966 million and US$1.1 billion. The likely price range is US$14 to US$16 apiece.
According to its filing, the company is offering 10 million of its common stocks to investors while enabling a 30-day option for the underwriters to purchase an additional 1.5 million shares at the IPO price.
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How to buy Sono stocks?
Interested buyers or traders can buy the stocks through a brokerage firm after the IPO. They can open a trading account with a brokerage firm. Besides, the trading account can be opened with a discount brokerage firm or a full-service broker.
The EV sector saw significant growth this year and is expected to maintain its momentum with the increasing demand for electric vehicles. However, investors should closely evaluate the company before considering an investment, whether looking for short-term trading, swing trading, or long-term holding.