Nuclear referendum in the market

ByRod Adams

BNFL has announced that they are going to sell their Westinghouse division. This sale is going to be an interesting case to watch, as it will either validate my position about the bright future for nuclear power or disprove it.

Though there are a lot of legacy products with the Westinghouse brand on them, the organization that BNFL is going to sell is one of the purest nuclear plays in the market. Through a series of acquisitions, reorganizations, spin-offs, and mergers, the Westinghouse Electric Company LLC has become a tightly focused company with market leading operations in nuclear fuel manufacturing, reactor design and component manufacture and nuclear plant services.

The intial indication is that at least 15 different entities have expressed interest in buying Westinghouse to BNFL. Some of BNFL’s unions have already indicated that they are not in favor of the sale – they believe that the nuclear business is just getting ready to blossom and they do not understand why the company would sell right now.

The beginning price that is being discussed is about $1.8 Billion US dollars – which is also approximately a billion pounds stirling. I will go out on a limb and predict that the final selling price will be at least 10% higher than that.

If the bidding approaches a frenzy, it will be a resounding vote for new nuclear power!

Rod Adams
Rod Adams

Rod Adams is Managing Partner of Nucleation Capital, a venture fund that invests in advanced nuclear, which provides affordable access to this clean energy sector to pronuclear and impact investors. Rod, a former submarine Engineer Officer and founder of Adams Atomic Engines, Inc., which was one of the earliest advanced nuclear ventures, is an atomic energy expert with small nuclear plant operating and design experience. He has engaged in technical, strategic, political, historic and financial analysis of the nuclear industry, its technology, regulation, and policies for several decades through Atomic Insights, both as its primary blogger and as host of The Atomic Show Podcast. Please click here to subscribe to the Atomic Show RSS feed. To join Rod's pronuclear network and receive his occasional newsletter, click here.

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