Following the cancellation of its small modular reactor (SMR) project in Utah, NuScale Power announced it will take “strategic” actions to reduce costs, including laying off 28% of its full-time workforce.

Related article from the shareholder’s investigation into the company:

NuScale Power (SMR) Admits to Ongoing, Active SEC Inquiry

On July 29, 2024, Hunterbrook Media reported that the SEC is conducting an “active and ongoing” investigation into NuScale and noted that after Hunterbrook’s publication “a spokesperson wrote in a statement: ‘[w]e are unaware of any SEC investigation into NuScale or any reason for such an investigation.’”

But, on August 2, 2024, NuScale did an about face. The company admitted that, contrary to its July 29 denial, in December 2023 the SEC requested information relating to the company’s employment, severance, and confidentiality agreements. In addition, NuScale revealed that the SEC requested additional information from the company on July 31, 2024.

Each of these events drove the price of NuScale shares sharply lower.

“We’re investigating the propriety of NuScale’s financial disclosures and operations, including whether the company’s agreements with employees suppress whistleblowing,” said Reed Kathrein, the Hagens Berman partner leading the investigation.