Canadian clean energy innovator General Fusion has announced a definitive agreement to go public through a merger with Spring Valley Acquisition Corp. III, a special purpose acquisition company. This strategic transaction is set to make General Fusion the first publicly traded company exclusively focused on developing commercially viable fusion power. The deal aims to provide up to $335 million in fresh capital to accelerate the company's groundbreaking work.
Details of the Landmark Transaction
The business combination values the Richmond, BC-based company at $600 million USD prior to the transaction, with a pro-forma equity value projected at approximately $1 billion. This figure incorporates a committed $105 million from a private investment in public equity (PIPE) and up to $230 million held in Spring Valley's trust. The final amount from the trust is subject to potential redemptions by SPAC investors.
Pending regulatory and shareholder approvals, the merger is anticipated to close in mid-2026, at which point General Fusion will begin trading on the Nasdaq under the ticker symbol "GFUZ". This public listing provides crucial liquidity and access to capital markets, following a path similar to other deep-tech firms seeking substantial funding. The move underscores a growing trend of leveraging SPACs for ambitious, capital-intensive technology ventures.
Fueling the Lawson Machine 26 Program
Proceeds from the transaction are earmarked to fully fund the advancement of General Fusion's Lawson Machine 26 (LM26) program. This initiative is central to demonstrating the commercial viability of its patented Magnetized Target Fusion (MTF) technology, which avoids complex superconducting magnets and high-powered lasers. The company has already made significant progress, having successfully created its first magnetized plasma within the LM26 machine.
The next major technical milestones for the LM26 program involve achieving fusion temperatures of 10 million degrees Celsius, followed by the 100-million-degree mark. Ultimately, the goal is to reach "scientific breakeven conditions," where the machine produces more energy than it consumes. General Fusion aims to complete this program by mid-2028, paving the way for a commercial power plant by 2035.
Navigating the Global Fusion Race
This public debut occurs amidst an intensifying global race to harness fusion energy, a prospect offering abundant, carbon-free power to meet surging worldwide electricity demands. General Fusion positions itself as a leading contender, backed by over two decades of research and more than $400 million in prior funding. The company is one of only a few private firms globally to have published peer-reviewed fusion results.
Leadership from both entities expressed strong confidence in the venture's potential to reshape the energy landscape. General Fusion CEO Greg Twinney stated the deal provides the capital needed for commercialization, while Spring Valley CEO Chris Sorrells praised the company's technology and team. This strategic partnership combines General Fusion's scientific expertise with Spring Valley's extensive experience in energy and decarbonization transactions.
The merger with Spring Valley marks a pivotal moment for General Fusion, securing the financial resources required to advance its ambitious clean energy goals. This transition to a public company not only validates its two decades of pioneering research but also signals growing investor confidence in fusion's potential. As the world seeks sustainable energy solutions, General Fusion's progress will be closely watched by the global energy industry.