Seattle-based Ultra Safe Nuclear Corp. says it has filed a Chapter 11 bankruptcy petition as part of a court-supervised process that will lead to its purchase through a public auction.
The process also involves what’s known as a stalking-horse bid for USNC’s assets, amounting to $28 million from Standard Nuclear Inc. The purchase agreement with Standard Nuclear is meant to set a floor for the bidding.
The bankruptcy filing covers USNC as well as its subsidiaries, USNC-Tech, USNC-Power and Global First Power. USNC says it has asked the federal bankruptcy court in Delaware for approval to complete the transaction in December.
USNC’s primary projects focus on the development of microencapsulated nuclear fuel and advanced modular reactors that would be smaller and more efficient than traditional nuclear power plants. The company has also been working on radioisotope batteries and other nuclear technologies for NASA and the Pentagon. One of its projects, aimed at developing designs for space-based nuclear thermal propulsion systems, was set up in collaboration with Jeff Bezos’ Blue Origin space venture and other partners.
Debtor-in-possession financing will keep USNC running during the sale process, the company said.
