Fervo Energy shares rose 33% in their trading debut following the geothermal startup's initial public offering, which valued the company at approximately $7.7 billion.

The enhanced geothermal energy company's IPO was increased in size several times after potential investors questioned why the startup wasn't raising more capital, according to market sources. The strong demand reflects growing investor interest in alternative energy solutions.

Fervo Energy has attracted backing from prominent investors including Bill Gates and Google, signaling confidence in the company's geothermal technology approach. The startup focuses on enhanced geothermal systems, which can generate clean energy by accessing heat from underground sources.

The successful public offering comes amid increased demand for clean energy solutions, particularly from artificial intelligence data centers that require substantial power capacity. The energy-intensive nature of AI operations has driven technology companies to seek reliable renewable energy sources.

Fervo's market debut represents one of the notable clean energy IPOs as investors show growing appetite for companies positioned to benefit from the expanding renewable energy sector and the infrastructure needs of the growing AI industry.