Amazon Backed X-Energy Targets $800 Million IPO

This article first appeared on GuruFocus.

Amazon (NASDAQ:AMZN) backed X-Energy is heading back to the public markets, this time aiming to raise up to $800 million as demand for power, especially from AI, keeps climbing.

The plan is to sell around 42.9 million shares priced between $16 and $19, which would bring in roughly $814 million at the top end and put the company's valuation near $7.5 billion. What makes this story interesting is the timing. X-Energy is building small modular reactors and advanced nuclear fuel, right as data centers and electrification trends are driving a surge in electricity demand. Amazon has already backed the company with a $500 million investment and even committed to buying up to 5 gigawatts of power through 2039, which gives the business a clear long term customer.

This IPO also feels like a second chance. X-Energy had tried to go public through a SPAC in 2023 but pulled back when market conditions turned. Now, with stronger interest in AI infrastructure, the setup looks different. Big banks like JPMorgan and Morgan Stanley are leading the deal, and Cathie Wood's firm is considering up to $105 million in shares.