NEW YORK —
During the first day of trading, shares jumped as much as 59 percent during the day. The stock closed Thursday at $11.79, or about 47 percent above its offering price or $8. That valued SolarCity at nearly $867 million.
The strong market debut followed a few days of difficulty for SolarCity and its underwriters, none of whom were fully prepared for the issues in bringing a clean-technology company to market.
SolarCity, whose backers include Tesla founder Elon Musk, prides itself on being different. It finances and installs rooftop solar systems in exchange for long-term monthly payments from its customers and prefers to think of itself as an energy company, rather than just a solar company. The solar leases typically run 20 years.
SolarCity had expected to raise as much as $151 million, at $13 to $15 a share. Investors were interested in the company and its prospects, but not particularly hungry for a lot of risk.
The company ultimately raised about $92 million.
That prompted the company to pursue a dramatic reset of its expectations. Because the new price was going to be well below previous public guidance, the offering had to be pushed back a day, said chief executive Lyndon Rive.
‘‘I still think this would have been a very good deal at $15,’’ he said. ‘‘But there was a lot of demand at $8.’’
New York Times