US-based NuScale Power, a leading developer of small modular reactor (SMR) technology, and Spring Valley Acquisition Corp, announced that SailingStone Capital Partners had committed to a $10 million private investment in public equity (PIPE) in furtherance of the NuScale-Spring Valley merger transaction.
The committment increases the total PIPE commitment for this transaction up to $221 million.
SailingStone, a subsidiary of Pickering Energy Partners, provides investment solutions in the global natural resource space with a specific focus on the industrial businesses, commodities and infrastructure assets, which will enable the energy transition.
This latest commitment follows NuScale and Spring Valley’s announcement in February of the satisfaction of contingencies securing a $30 million PIPE commitment from Samsung C&T Corporation which ensured that, pending satisfaction of remaining closing conditions, the minimum cash threshold for the business combination can be met.
“As a first mover in this space, NuScale is developing pioneering SMR technology that is crucial to achieving net zero GHG emissions targets,” said Ken Settles, Managing Director with SailingStone. “SailingStone is excited to partner with NuScale to bring this important technology to market and help shape the future of the energy sector.”
“We are excited to welcome another excellent institutional partner in SailingStone,” said John Hopkins, President and Chief Executive Officer of NuScale. “This additional commitment further solidifies our already strong financial position as we prepare to become a public company.”
NuScale says its NuScale Power Module which is the only viable, near-term deployable SMR technology. NPM is capable of generating 77MWe. NuScale’s VOYGR power plant design can accommodate configurations of four, six and 12 modules that can provide up to 924MWe.
The $221 million in total PIPE proceeds, along with more than $232 million in Spring Valley’s trust account subject to redemptions by Spring Valley’s shareholders, will be used to bolster and accelerate the commercialisation of NuScale’s SMR technology.
SailingStone is joined by several other global financial and strategic investors committed to the PIPE, including DS Private Equity, Samsung C&T Corporation and Segra Capital Management, with participation by Spring Valley’s sponsor, Pearl Energy Investment Management. The transaction is expected to close in the second quarter of 2022 and is subject to approval by Spring Valley’s shareholders as well as other customary closing conditions.
