Nuclear startup X-energy has begun its investor roadshow as it prepares for an initial public offering (IPO). The company is targeting a price range of $16 to $19 per share, which would value it at up to $814 million if listed at the high end. X-energy has attracted significant investment from Amazon, which led a $500 million funding round and has pledged to buy 5 gigawatts of nuclear power from the startup by 2039.
The company's reactor design, known as a high-temperature, gas-cooled reactor, uses uranium encased in ceramic and carbon spheres that are cooled by helium gas. This design is expected to be safer than previous arrangements, but it has not been widely used. X-energy is already embroiled in a patent dispute with another company, Ultra Safe Nuclear Corporation (USNC), which recently went bankrupt.
The startup's IPO comes as interest in fission power surges due to growing demand for electricity from AI data centers and electrification efforts. However, the path from criticality to profitable power plants is likely to be long, taking around a decade to achieve mass manufacturing and reduce costs. X-energy estimates that its reactor production techniques will bring down costs by 30% when mature.
The company has received significant investment from investors, with about $1.8 billion poured into it according to PitchBook. Its IPO could come as a relief to these investors, who have been waiting for the startup to go public after a previous attempt via reverse merger was canceled in 2023.
