Reuters: IPOX® CEO Josef Schuster Comments on Standard Nuclear’s Reduced IPO and Valuation Pressures

Reuters reports that Standard Nuclear reduced the size of its proposed U.S. IPO by more than half amid cautious investor sentiment toward high-risk and loss-making companies. The nuclear fuel company now plans to sell 10 million shares at $15 each, targeting a valuation of approximately $2.4 billion, compared with its previous target of $3.55 billion.

IPOX® CEO Josef Schuster explained that recent IPO performance has weakened demand for new offerings, particularly those with higher risk profiles. He also noted that weakness among publicly traded nuclear energy companies is contributing to the more difficult pricing environment.

“The poor performance of recent IPOs, including SpaceX, is negatively affecting the demand for U.S. IPOs, in particular for high-risk, loss-making deals such as Standard Nuclear,” Schuster said.

“Sector-specific weakness is contributing to the more challenging pricing environment,” Schuster added, referencing the subdued trading performance of NuScale Power and Oklo.

Read the full article by Arasu Kannagi Basil and Pragyan Kalita on Reuters: Nuclear fuel firm Standard Nuclear slashes US IPO size by more than half