Rockville’s X-energy closes $700M funding round, continues growth

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X-Energy Reactor Company LLC, a nuclear reactor and fuel design engineering company based in Rockville, announced it has closed an oversubscribed Series D financing round of approximately $700 million from several new and existing investors.

Some new investors include ARK Invest, Galvanize, Hood River Capital Management, Point72 and Reaves Asset Management among others, as existing investors include Ares Management funds, Corner Capital, Emerson Collective, NGP, Segra Capital Management and others.

Series D funding rounds – as opposed to Series A, B and C – usually applies to companies that are well-established. This type of funding is not so much about necessity as it is about capitalizing on favorable market conditions, according to DealRoom. 

“The response and commitment from the participants in this financing round is a strong affirmation of the role X-energy expects to play in shaping the future of energy,” X-energy founder and executive chairman Kam Ghaffarian said. 

“When I founded X-energy, I envisioned a company that could redefine how to make advanced nuclear energy accessible, affordable, and essential to an energy abundant future. With the support of our investors, both new and existing, we are closer to realizing that vision.”

X-energy plans to use proceeds from the round to continue the expansion of its supply chain and commercial pipeline in support of an orderbook of more than 11 gigawatts that represent roughly 144 advanced small modular reactors, according to a release.

The term “oversubscribed” refers to when a company’s campaign gets more investment commitments than what it initially planned to close on.

“We are highly focused on building a world-class project and technology delivery platform to accelerate the commercialization of our Xe-100 reactor and TRISO-X fuel,” X-energy CEO J. Clay Sell said. 

“The success of this financing round allows us to deepen partnerships with critical deployment partners and invest in a robust and reliable supply chain to successfully deliver projects with our customers.”

X-energy’s planned advanced nuclear fuel fabrication facility will be a first of its kind in the U.S.