Fervo Energy Joins New Listings on Nasdaq With $1.89 Billion IPO

Key takeaways

• Among May’s new listings on Nasdaq, Fervo Energy Company priced its IPO at $27.00 per share on 70 million Class A shares, raising $1.89 billion, according to its final prospectus filed May 14, 2026.
• The shares were set to trade under the symbol FRVO.
• Net proceeds of $1.78 billion were slated for general corporate purposes, including project capital spending.
• Fervo had not yet begun large-scale commercial operations; its Cape Station project in Utah targeted first power in late 2026.
• The company held 658 megawatts of binding power purchase agreements, per the prospectus.

A geothermal developer among new listings on Nasdaq

Fervo’s offering stood out on the May IPO calendar because of what it is: a pre-revenue power developer raising nearly $2 billion. The prospectus, dated May 12, 2026, describes the company as a pioneer of enhanced geothermal systems, using horizontal drilling and multi-stage hydraulic fracturing techniques borrowed from oil and gas to tap heat underground and generate electricity.

All 70 million shares were sold by the company, so the full net proceeds went to Fervo.

Item	Figure
Shares offered	70,000,000
Price per share	$27.00
Gross proceeds	$1.89 billion
Underwriting discount	$1.62/share ($113.4 million)
Net proceeds	$1.7766 billion
Underwriters’ option	10,500,000 shares
Total shares after IPO	283,562,333

The joint lead underwriters were J.P. Morgan, BofA Securities, RBC Capital Markets and Barclays.

The projects behind the listing

According to the prospectus, Fervo’s portfolio includes:

• Project Red, a 3-megawatt pilot in Nevada that is already operating.
• Cape Station, a 500-megawatt project under construction in Utah, with first power expected in late 2026 and about 100 megawatts expected by early 2027.
• Contracted demand of 658 megawatts under binding power purchase agreements, plus a framework agreement with Google covering up to 3 gigawatts.

These details are the core of the investment case, since the company has generated only immaterial ancillary fees so far.

Losses and capital needs

Preliminary unaudited figures for the first quarter of 2026 showed:

• Net loss of $29.0 million to $35.0 million, versus $9.1 million a year earlier.
• Capital expenditures of $180.0 million to $200.0 million, compared with $93.9 million in the first quarter of 2025.
• Cash and equivalents of $280.8 million at March 31, 2026, down from $461.8 million at the end of 2025.
• Long-term debt of $189.8 million.

The pace of cash burn explains the size of the raise. At the first-quarter rate of capital spending, the pre-IPO cash balance would have covered only a few more quarters of construction.

How the money will be used

The prospectus allocates proceeds broadly to general corporate purposes, including project-level capital spending, development of the company’s GeoCluster sites and land holdings, working capital and operating expenses. Management did not commit specific amounts to each use, leaving it wide discretion.

Share structure

After the offering, Fervo expected 275,776,919 Class A shares and 7,785,414 Class B shares outstanding, for 283,562,333 total, rising to 294,062,333 if the underwriters’ option is fully exercised. At $27, the total share count implies an equity value of about $7.7 billion, our calculation from the filing.

Why it matters for the IPO calendar

Fervo’s listing tested whether public investors would fund a capital-intensive energy developer before it had operating revenue at scale. Demand for power tied to data centers has drawn attention to firm, around-the-clock generation sources, and the Google framework agreement links Fervo directly to that theme. The deal’s size placed it among the notable IPO filings of the spring.

What to watch

The milestones to track are first power at Cape Station in late 2026, progress toward roughly 100 megawatts by early 2027, any additional power purchase agreements, the pace of capital spending, and whether underwriters exercised their option on 10.5 million additional shares.