X-energy raises $1 billion in IPO for modular nuclear reactors

Nuclear energy startup X-energy raised $1 billion in its initial public offering yesterday, selling 44.3 million shares at $23 each. The pricing represents a hefty premium above the $16 to $19 per share range the company was seeking. The company, which is developing small modular reactors—compact nuclear reactors designed to be built in factories and assembled on-site to generate electricity or deliver heat—priced its offering well above its initial expectations. Initially, the company had hoped to raise around $800 million.

The financial details of the offering include:

• Total capital raised: $1 billion, surpassing the initial fundraising goal of around $800 million.
• Shares sold: 44.3 million shares.
• Price per share: $23, which represents a premium over the initial price range of $16 to $19 per share that the company was seeking.

The stock is expected to begin trading on Friday on the Nasdaq Exchange.

X-energy’s commercial pipeline is anchored by major industrial and technology partnerships. The company has secured a deal with chemical manufacturer Dow to provide heat and power to a chemical plant in Texas. Additionally, X-energy has established a partnership with Amazon to sell as much as 5 gigawatts of nuclear power by 2039. This commercial relationship is backed by direct investment: Amazon’s Climate Pledge Fund led X-energy’s Series C-1 investment round, cementing the technology giant’s role as both a key customer and an investor.

The company’s planned Xe-100 reactors, which will generate 80 megawatts of electricity, rely on a specialized fuel design. X-energy utilizes TRISO fuel pellets—tri-structural isotropic fuel made of uranium kernels wrapped in protective carbon and silicon layers. In X-energy’s reactor design, helium gas cools the system by flowing over billiard ball-sized pebbles packed with these BB-sized fuel pellets. TRISO fuel was developed years ago to be safer than existing fuel designs, though it has not been widely used. According to X-energy, its fuel can withstand higher temperatures, which helps to keep the fuel contained and reduce the potential of a meltdown.

Why it matters

Nuclear startups like X-energy are being buoyed by the surging demand for electricity from data centers and other sectors undergoing rapid electrification.