Holtec Pulls Small Modular Reactor IPO, Citing Market Shift Away from AI Data Center Trade

Small modular reactor developer Holtec International has withdrawn its planned initial public offering, scrapping what had been expected to be one of the largest nuclear-energy listings of 2026. The offering was slated to raise approximately $900 million, with shares set to begin trading this week.

Chief Executive Officer Holtec confirmed the cancellation on Sept. 16, telling the Financial Times that the decision followed a sharp deterioration in investor appetite for anything tied to the AI data center buildout. The executive described the environment as a “perfect storm,” noting that nuclear power suppliers have become closely associated — fairly or not — with the data center economy in the eyes of the market.

The pullback rippled across the publicly traded small modular reactor space. Oklo Inc., which develops the Aurora Powerhouse fission plant rated between 15 and 75 megawatts, saw shares trade at $41.27, up 3.33% from the prior close of $39.94, giving the company a market capitalization of roughly $6.76 billion. The stock’s gains came despite the broader sentiment shift roiling the sector.

NuScale Power Corporation — whose NuScale Power Module is a light water reactor capable of generating 77 megawatts of electricity — edged lower, with shares at $9.70, down 0.72% from a previous close of $9.77 and a market cap near $2.98 billion.

Holtec’s decision marks a notable reversal for a company that had been positioned as a headline debut for the nuclear revival narrative, in which tech hyperscalers seeking round-the-clock carbon-free power have been courting SMR developers. A listing of that size would have offered a rare public-market benchmark for valuing the young SMR industry, and its absence leaves investors with fewer direct comparisons for companies like Oklo and NuScale.

The episode underscores how tightly nuclear developer valuations have become linked to data center capital spending cycles. When sentiment around AI infrastructure spending turns, nuclear names have moved with it, regardless of near-term changes to their own project pipelines.

What to watch

• Whether Holtec refiles for an IPO later in 2026 or pursues private funding instead.
• Upcoming quarterly reports from Oklo and NuScale for commentary on customer demand tied to data center contracts.
• Any regulatory milestones, including Nuclear Regulatory Commission approvals for SMR designs in development.
• Broad sentiment indicators around AI infrastructure spending, which have recently influenced nuclear-sector listings.

Source: original release