Iceberg goes short Nuscale, says holders will be diluted

Iceberg Research issued a short report on Nuscale Power, saying the company’s recently disclosed contract with Standard Power “has zero chance of being executed as Standard Power clearly does not have the means to support contracts of this size.” Standard Power’s managing director Adam Swickle was found guilty of securities fraud in the past and Entra1, NuScale’s commercial partner who is expected to help with the funding, was created in 2021 and is very unlikely to be able to finance even a portion of this contract, Iceberg wrote in a report posted on its website. The firm says NuScale has around 15 months before its cash runs out. It expects further shareholder dilution, adding Carbon Free Power Project completion “remains an iffy prospect with its constant cost overruns.” Shares of Nuscale Power are down 7% to $4.68 following the short report.