Nuclear startup Deep Fission goes public in a curious SPAC

Deep Fission, an innovative startup in the nuclear energy sector, has made headlines by officially going public through a reverse merger, raising an impressive $30 million in the process. This move marks a significant moment for the company, which aims to revolutionize the nuclear landscape with its unique approach. The startup is focused on developing compact, cylindrical nuclear power plants designed to be submerged in 30-inch diameter holes drilled a mile deep into the Earth. By placing their reactors underground, Deep Fission aims to address critical issues such as meltdown risks and threats from potential terrorist activities. Each of their reactors will have a power output of 15 megawatts and utilize pressurized water for cooling—a technology already found in nuclear submarines and many conventional power plants. Earlier this year, Deep Fission secured a partnership with data center developer Endeavor to construct an ambitious 2 gigawatts of underground reactor capacity. Despite facing challenges, including an unsuccessful attempt to raise $15 million in a seed funding round in April, the company has recently gained momentum. In August, Deep Fission, along with nine other nuclear startups, was selected for the Department of Energy's Reactor Pilot Program, which aims to streamline the permitting process for new nuclear projects. In a notable aspect of its SPAC merger with Surfside Acquisition Inc., the shares were priced at $3, significantly lower than the typical $10 benchmark for SPAC offerings. Although the new entity will retain the Deep Fission name, its shares have yet to begin trading. Plans are in place for the company to be listed on the OTCQB market. The initial conditions of the merger indicate that Deep Fission may have struggled to attract additional investment from new or existing shareholders, having previously received a $4 million funding injection last year. While the funds from the merger provide a much-needed extension for the startup compared to its previous funding efforts, it will also introduce SEC reporting obligations, a challenge for a small company in a capital-intensive industry. Looking ahead, Deep Fission is targeting the launch of its first reactor by July 2026.