Energy Recovery Inc. IPO

What is it? The initial public offering of Energy Recovery Inc. on the Nasdaq stock exchange in July 2008.

Who is responsible? Energy Recovery Inc. sold eight million shares, while a group of strategic stockholders sold a further six million. Citi and Credit Suisse acted as joint underwriters.

Why is it shortlisted?

• ERI's debut on the Nasdaq was the most impressive water technology IPO since Zenon on a market capitalisation to revenues basis. 14 million ERI shares were floated on Nasdaq priced at $8.50 each, and the stock had jumped 29% by the end of the first day's trading.

• For investors, the deal represented an attractive combination in terms of exposure, being both an energy and a water scarcity play. The stock sale was significant in generating involvement from greentech funds in the water sector, and provided a golden opportunity to trade in that rarest of animals - a pure-play desalination company.

• The IPO capped a fantastic run of success for ERI's PX technology, which helped to grow the company's revenues by 88% in 2006 and 76% in 2007. Contract wins subsequent to the flotation include Hamriyah, UAE (91,000m3/d) and the Algerian projects at Souk Tleta (200,000m3/d) and Fouka (120,000m3/d).