Amidst surging demand for energy transition-linked investments, Array Technologies shares jumped by nearly two thirds after debuting on the Nasdaq Global Market on Thursday. Array, one of the world’s largest manufacturers of ground-mounting systems used in solar energy projects, offered over $1 billion of shares in its IPO, with controlling shareholder Oaktree Capital selling 40.5 million shares at the $22 IPO price, and 7 million shares sold by the company. Following the first day of trading, the company’s market cap has reached more than $4.6 billion.

The company’s successful debut reflects the growing, and often unmet demand for investment opportunities in the energy transition space. In a recent RBC GAM survey, when asked if there are sufficient climate-related investment products available, over 80% of investors responded “no” or “not sure”.

Array Technologies’ principal product is an integrated system of steel supports, electric motors, gearboxes, electronic controllers and software, commonly referred to as a single-axis “tracker.” Trackers move solar panels throughout the day to maintain an optimal orientation to the sun, which significantly increases their energy production. According to Array, the company’s tracker solution offers significant efficiency benefits to solar energy projects, generating up to 25% more energy than projects that use “fixed tilt” mounting systems.

Demand for Array’s products has been very strong, with revenues increasing 145% in the first six months of 2020, relative to the same period the prior year. According to the company’s registration statement, the strength has been driven in part by customers electing to take deliveries ahead of build schedules to take advantage of the US solar investment tax credit, a federal income tax credit for developers of commercial solar projects that is scheduled to phase down over a four-year period beginning this year. Longer term, the company stated that it expects to continue to benefit from the global transition to renewable energy, as nations move to decarbonize their economies.

Goldman Sachs, JP Morgan, Guggenheim Securities and Morgan Stanley acted as lead underwriters on the deal.