Breaking News

Tweet TWEET

Coskata Withdraws Biofuel IPO, Citing ‘Market Conditions’

Coskata Inc., a biofuel company backed by venture capitalist Vinod Khosla, withdrew its registration for a planned initial public offering to raise as much as $100 million.

“At this time, due to current public market conditions, the company has determined not to proceed with the initial public offering,” it said today in a filing.

Coskata is the fourth biofuel company, and second backed by Khosla, to cancel an initial share sale since last year. Enerkem Inc. canceled its planned IPO in April 2012, followed by Fulcrum BioEnergy Inc. in November and Khosla-backed Mascoma Corp. (MCM) in March.

The company, based in Warrenville, Illinois, shelved the offering indefinitely almost a year ago, and Chief Executive Officer Bill Roe said unfavorable market conditions were the reason for putting the deal on hold. He’s seeking investors for a plant that will convert natural gas into ethanol, a shift from Coskata’s prior focus on converting biomass into fuel.

To contact the reporter on this story: Andrew Herndon in San Francisco at aherndon2@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.