Fervo Energy Plans $1.3 Billion IPO to Expand Geothermal Energy Projects

Tue, 05 May 2026 06:30:00 +0200

Fervo Energy, a U.S.-based geothermal energy startup, announced its plans to raise up to $1.3 billion in an initial public offering (IPO). If the shares sell at the upper end of its $21 to $24 target price, the company could achieve a valuation of approximately $6.5 billion. This represents a significant increase from earlier reports when the company confidentially filed IPO paperwork with the SEC seeking a lower valuation. Fervo will trade on the Nasdaq under the ticker symbol FRVO. The company’s pricing strategy follows the successful IPO of nuclear startup X-energy, which raised $1 billion and now has a market capitalization exceeding $8 billion. Both companies have benefited from rising electricity demand from technology companies, particularly to support AI data centers. Fervo's first large-scale project, the Cape Station power plant, is projected to generate electricity at $7,000 per kilowatt of installed capacity. The company aims to lower costs to $3,000 per kilowatt, reaching