Deep Fission’s shares advanced 15.1% to close at $18.41 on Thursday in their maiden session on the Nasdaq, following the completion of a reduced initial public offering. The stock began trading at the IPO price of $16 per share.
The Berkeley, California-based developer sold 2.5 million shares at $16 each, which was the low end of the company’s most recently marketed range of $16 to $18 per share. The transaction raised $40 million.
Earlier plans for the offering had been substantially larger. The company initially intended to offer 6 million shares with a price band of $24 to $26 per share, but that plan was scaled back prior to the listing.
Deep Fission is focused on the development of a small modular reactor called the Gravity Reactor. The reactor is designed to operate in boreholes drilled to a depth of one mile underground.
In its IPO, Benchmark and Seaport Global Securities served as the joint lead book-running managers. William Blair, Stifel, and Canaccord Genuity were listed as joint lead book-running managers when the offering was first launched but were later removed from the underwriting lineup.
Market context and offering details
The company sold shares at the IPO price and raised $40 million from the placement of 2.5 million shares. The final offering structure represents a reduction both in the number of shares sold and in the price band originally contemplated by the issuer.
Technology focus
Deep Fission’s core technical project is the Gravity Reactor, a small modular reactor engineered for deployment down a one-mile borehole. The design and intended operating environment for the reactor are as stated by the company.
Summary
Deep Fission completed a scaled-back IPO, selling 2.5 million shares at $16 each and raising $40 million. Shares rose 15.1% to $18.41 on the first day of Nasdaq trading. The company is developing the Gravity Reactor, intended to operate in deep boreholes.
- Key points
- Deep Fission’s stock jumped 15.1% to $18.41 on its Nasdaq debut.
- The company sold 2.5 million shares at the IPO price of $16, raising $40 million.
- Deep Fission is developing a small modular Gravity Reactor designed for one-mile-deep boreholes.
- Risks and uncertainties
- The offering was materially reduced from initial plans - the company initially proposed 6 million shares at $24 to $26 each, but ultimately sold 2.5 million at $16.
- Several underwriters originally listed for the IPO - William Blair, Stifel, and Canaccord Genuity - were later removed from the underwriting lineup.
- The company’s technology is described as a reactor intended for deep borehole operation; further details and outcomes are not provided in the available information.