Nuclear Energy Firm X Energy to Go Public through $2B SPAC Merger with Ares Acquisition

Ares Acquisition Corp. (ACC), a special purpose acquisition company (SPAC) founded in 2020 and backed by private equity firm Ares Management, has merged with X Energy, a nuclear power technology firm, in a deal that values the combined firm at $2 billion.

X Energy’s existing equity holders are expected to have more than a 60% stake in the merged entity.

The deal is expected to close in the second quarter of 2023.

The combined company will receive around $1bn of cash held in AAC’s trust account, along with a commitment for $120mn financing from institutional and strategic investors.

X Energy also received around $58mn of interim financing throughout this year, from existing strategic investors, including Dow and Curtiss-Wright Corporation.

Ares co-founder, Ares Private Equity Group co-chairman, and AAC co-chairman and chief executive officer David Kaplan said, “Ares and X-energy share a strong commitment to driving the transition to a lower-carbon economy through innovation in climate infrastructure.”