NuScale Power Class Action Lawsuit
Analysis based on 19 articles · First reported Feb 20, 2026 · Last updated Mar 23, 2026
The class action lawsuit against NuScale Power and Fluor Corporation, alleging misleading statements and undisclosed risks, has negatively impacted NuScale Power's stock price, which declined over 12%. This event highlights the financial risks associated with partnerships involving inexperienced entities in highly technical fields like nuclear power, potentially leading to significant investor losses and increased scrutiny on similar commercialization strategies in the energy sector.
A class action lawsuit has been filed against NuScale Power, certain top executive officers, and Fluor Corporation, alleging violations of the Securities Exchange Act of 1934. The lawsuit claims that NuScale Power made false and misleading statements regarding its global commercialization partnership with ENTRA1 Energy LLC for its NuScale Power Module (NPM) technology. It is alleged that ENTRA1 Energy LLC lacked significant prior experience in building, financing, or operating nuclear power generation projects, despite NuScale Power entrusting hundreds of millions of dollars and its commercialization strategy to them. The lawsuit further states that the purported experience of ENTRA1 Energy LLC was falsely attributed to the principals of the Habboush Group, an entity also without relevant nuclear power experience. These undisclosed risks led to NuScale Power's general and administrative expenses ballooning over 3,000% to $519 million in Q3 2025, largely due to a $495 million payment to ENTRA1 Energy LLC for its agreement with the United States — Tennessee Valley Authority. Consequently, NuScale Power's quarterly net loss skyrocketed to $532 million, causing its Class A shares to decline more than 12% over a two-day trading period.
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