Zap Energy Stock: KAPOW! Is an IPO About to Strike?

Explore potential ways to acquire Zap Energy stock before the IPO date. Invest in pre-IPO startups like OpenAI, Databricks, Anduril, and Anthropic via the Fundrise Innovation Fund*. 

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Notable Zap Energy News

10/09/2024: Zap Energy attracts $130M in fresh capital
07/14/2022: ARPA-E Investor Update: Zap Energy
06/22/2022: Zap Energy nets $160M Series C
05/19/2021: Zap Energy raises $27.5 million
Older news…

About Zap Energy

Zap Energy is a fusion energy startup founded in 2017 by Brian Nelson, Uri Shumlak, and Ben Levitt as a spinout from the Fusion Z-pinch Experiment (FuZE) research team at The University of Washington.

The company is developing a unique sheared-flow stabilized (SFS) Z-pinch fusion approach, aiming to generate cost-effective and scalable fusion power without expensive superconducting magnets or high-powered lasers. 

Fusion energy is not fission energy, the type associated with nuclear weapons and power plants. Fusion produces clean energy without environmental or negative societal impacts.

The company says it is developing a “seriously cheap, compact, scalable fusion energy technology” that claims it may have the fastest path to commercially viable fusion, requiring less capital than competitors.

Zap Energy stands out in the competitive fusion landscape by pursuing a lower-cost and simpler alternative to tokamaks and laser-based fusion systems, competing with startups like TAE Technologies, Commonwealth Fusion Systems, and Sam Altman-funded Helion Energy.

With significant funding from private investors and government grants, the company has demonstrated promising progress. If successful, Zap Energy’s approach could accelerate the commercialization of fusion power, delivering electricity in the early 2030s.

Here is a video helping us understand Zap Energy’s approach within the competitive landscape. 

Ownership

Zap Energy is a venture-backed startup. Equity owners include the founders, employees, and several climate and energy-related venture capital firms. 

The company has raised more than $330 million since its founding in 2018.

The latest confirmed funding round was a Series D announced in September 2024. 

Prominent venture capital investors include LowerCarbon Capital (Chris Sacca), Soros Fund Management, Addition, BAM Elevate, Breakthrough Energy Ventures (Bill Gates), Mizuho Financial, Emerson Collective, Plynth Energy, DCVC, Xplor Ventures, Valor Equity Partners, Chevron Ventures, Shell Ventures, Energy Impact Partners, GA Capital, and Fourth Realm.

It has also received funding grants from the ARPA-E ALPHA program through the U.S. Department of Energy. 

Funding Rounds

WordPress Data Table Plugin

Valuation 

The September 2024 Series D funding round announcement did not include a valuation. Considering its total funding and comparisons against competitors, the Zap Energy valuation is estimated at about $1 billion.

IPO Potential

The Zap Energy IPO date is unknown and unlikely to occur in the next several years. The company does not expect to start selling electricity until the 2030s. 

Its ability to generate electricity hinges on engineering breakthroughs, which are far from a certainty of success.

The company is unviable as a stand-alone entity and will likely require multiple future funding rounds before becoming self-sufficient.

An earlier IPO is possible if management and investors believe a viable commercial product is on the horizon.

If the company can convince investors that fusion energy will become a reality in the coming years, or if competitors reach substantial milestones on the road to scientific breakthroughs, it may use an IPO to raise money, akin to a pre-revenue biotechnology company.

However, the industry is still multiple years away from public company ambitions. 

Bookmark this page for the latest developments.

How to Buy Zap Energy Stock

Since Zap Energy is a private company, becoming an equity owner today is challenging, especially since its technology remains unproven and has a modest valuation.

However, you can take action to position yourself for early equity ownership or acquire shares later during the IPO. 

Here are some possible ways to acquire shares before and after an IPO.

1. Access shares on pre-IPO investing platforms

Readers can monitor Zap Energy stock availability on pre-IPO investing platforms.

Shares may become available if early investors or employees want to cash out before an IPO if that ever occurs. 

This may become more likely if the company raises another round of venture capital, which is necessary to push forward the company’s progress. 

Accredited investors can watch pre-IPO investing platforms such as Hiive, Forge Global, Linqto, and EquityZen for Zap Energy share availability.

Investment minimums on these platforms range from $1,000 to $50,000 or more. 

Non-accredited retail investors can own pre-IPO companies by investing in the Fundrise Innovation Fund (review).

However, you cannot select individual pre-IPO companies, and Zap Energy stock is currently not in the portfolio.

Please note: This is a testimonial in partnership with Fundrise. We earn a commission from partner links on AccessIPOs.com. All opinions are my own.

As companies mature, gain more shareholders, and delay their IPO due to macro conditions, more equity holders may seek liquidation before the IPO. 

2. Indirect Access

Individual investors eager for investment exposure to Zap Energy can look to public companies that have taken ownership stakes. Chevron and Shell Oil have invested in Zap Energy through their venture capital divisions. 

Therefore, investors can buy Chevron and Shell stock for indirect ownership. 

A word of caution — these companies have ownership stakes that are a very small portion of the total equity stack.

And since an individual investor will only invest a relatively small amount into these companies, the true investment exposure is minuscule. Indirect ownership is, therefore, more symbolic than effective.

However, if the Zap Energy valuation were to increase substantially, both companies and their shareholders would benefit. 

3. Participate in the Zap Energy IPO

The Zap Energy IPO is several years away.

When the time comes, or if investors are interested in other IPOs, there are ways to position yourself to participate in IPOs if the strategy can help you meet your investment objectives. 

But it takes some upfront homework. 

IPO access has become more attainable to retail investors in the past few years. 

The following online brokers give customers free access to IPOs, even with low account balances:

• TradeStation 
• Robinhood 

Brokers negotiate exclusive IPO share allocations to make available to retail investors.

Access to specific high-demand IPOs is usually limited by which brokerage accounts you have and what broker gets exclusive access. 

TradeStation has a longer track record of accessing more than 400 IPOs and secondary offerings via its partnership with Click Markets. 

But Robinhood has the advantage of Silicon Valley networks and a history of getting allocations for high-profile IPOs.

Check out this list of best brokers for IPO investing to learn more about IPO access for retail investors.

4. Buy Zap stock after the IPO

Waiting for the IPO requires patience. Zap Energy’s IPO may never happen or be a decade or more away.

Therefore, pre-IPO investing may be the best path for investors eager to own the potential of fusion energy. 

Retail investors may have advantages by waiting until after the IPO before owning stocks. 

IPOs allow investors to review financials via the S-1 filing. Pre-IPO investing has limited financials available. 

An IPO is a sign that the company is viable for the long term. Zap Energy has not yet demonstrated its ability to be a sustainable company. 

IPO stock prices typically rise with high-demand companies. You can benefit if you’re in early and sell when the price overheats.

Many IPOs rise in early trading, then fall once quarterly earnings reports become available.

Stock price declines after IPOs can be excellent entry points.

Avoid buying overvalued shares immediately after the IPO. Shares often fall after the IPO due to lockup expirations and quarterly earnings disappointments. 

Frequently Asked Questions (FAQs)

Is Zap Energy Publicly Traded?

No. Zap Energy is not publicly traded. 

What is the Zap Energy Stock Price?

There is no public Zap Energy stock price yet. The company is private. 

The September 2024 Series D funding round was completed at $112.17 per share, according to Hiive. 

What is the Zap Energy Stock Symbol?

Zap Energy is a private company and is expected to be for some time. There is no Zap Energy stock symbol yet. 

Companies release their stock symbols along with their public SEC filings. 

Here are a few Zap Energy ticker suggestions that appear to be available in the U.S.: 

• ZP
• ZPP
• ZAPE

Note: “ZAP” is already occupied by the Global X U.S. Electrification ETF. 

Where is the Zap Energy S-1 Filing?

Zap Energy will not likely start the IPO process in the next five years. So, you will not find any SEC filings relevant to an IPO. 

When the company makes progress with its technology and can generate revenue, it may choose the public route.

If Zap Energy ever submits an S-1 filing and releases it to the public, we’ll post it here. 

In the meantime, you can check out the most recent S-1 filings in our S-1 filings feed. 

Zap Energy News Archive

04/22/2021: U of W spinoff, Zap Energy, to power the planet
08/12/2020: Chevron invests in nuclear fusion startup

Conclusion

Zap Energy is an ambitious but uncertain bet on the future of fusion power.

Though its sheared-flow stabilized Z-pinch approach offers a lower-cost alternative to traditional fusion designs, the road to commercialization remains fraught with technical challenges.

The company’s funding history suggests strong private investor confidence from some of the world’s leading climate VCs. However, its reliance on venture capital and government grants highlights the capital intensity of fusion research.

The absence of near-term revenue potential makes an IPO unlikely in the short run. Broader IPO momentum (led by AI and quantum computing) could accelerate public investor interest in fusion energy. 

For ordinary investors seeking exposure, indirect ownership through corporate backers like Chevron and Shell provides minimal but symbolic participation.

Pre-IPO investing platforms may eventually offer shares, but liquidity and availability remain unpredictable.

Zap Energy’s future hinges on scientific and engineering advances, transitioning its innovations to date into a scalable and commercially viable electricity producer.

If Zap Energy stock or other fusion energy startups are on your watchlist, proceed cautiously and patiently.