NuScale closes $30M investment from Fluor
By Christina Williams
Sustainable Business Oregon editor
Fluor Corp. acquired a majority stake in Corvallis-based NuScale Power with a $30 million investment.
NuScale Power will announce Thursday that it closed on a $30 million investment that will save the nuclear energy startup from what had become a financial nightmare.
Fluor Corp. purchased a majority stake in Corvallis-based NuScale with the investment and is expected to also support the company in its effort to get regulatory approval for its small-scale nuclear reactor.
Fluor's is buying the stake in NuScale formerly held by the Kenwood Group hedge fun. Francisco Illarremendi, majority owner of the fund, pleaded guilty in March to running a Ponzi scheme, leaving the majority ownership stake in NuScale in the hands of a court-appointed receiver.
The saga continued when Ramon Illarremendi, Francisco's father, petitioned the U.S. District Court in Connecticut to make a bid for NuScale to compete with Fluor's offer. U.S. District Court Judge Janet Bond Arteton rejected that request.
The Wall Street Journal reports that Fluor's investment in NuScale reflects its interest in the future of nuclear energy and a desire to keep up with competitor Bechtel Corp., which is partnering with another player in the small nuclear space, Babcock & Wilcox Co.
NuScale Chief Marketing Officer Bruce Landry confirmed that the Fluor investment had closed and that the company would make a formal announcement Thursday at the National Press Club in Washington, D.C.
NuScale had furloughed about 100 workers and all but shut down in March when the Illarremendi scandal kneecapped its cash flow. Some employees were brought back in July, and the Fluor investment ensures that operations will be back up and running.
@SustainableBzOR | email@example.com | 503.219.3438
If you are commenting using a Facebook account, your profile information may be displayed with your comment depending on your privacy settings. By leaving the 'Post to Facebook' box selected, your comment will be published to your Facebook profile in addition to the space below.