$88 million funding round backed by heavy industry investors highlights growing corporate demand for low-carbon baseload power
Lead-cooled fast reactors using recycled nuclear fuel aim to cut waste risks while expanding advanced nuclear capacity
Expansion plans across Europe and the U.S. align with shifting nuclear policy support and private capital momentum
Advanced nuclear developer newcleo has secured €75 million ($88 million) in fresh funding to accelerate the development of small modular reactors powered by recycled nuclear waste, positioning itself at the center of a renewed push toward next generation nuclear energy.
The latest capital raise brings the company’s total funding since its 2021 launch to roughly €645 million, with more than $124 million secured in 2025 alone. Investors include industrial heavyweights Danieli & C, Cementir Holding, Orion Valves, and NextChem, alongside existing backers such as Indaco Ventures, Azimut Investments, Kairos, the CERN pension fund, and Walter Tosto.
For energy intensive sectors navigating rising decarbonization pressures, the involvement of steel, cement, and industrial engineering groups reflects a broader shift toward direct participation in low-carbon infrastructure rather than reliance on external power markets.
“Our ability to deliver impactful low-carbon energy solutions for energy-intensive firms is proving an attractive investment rationale for both industrial and financial investors. Our tangible progress in licensing, R&D, vertical integration, and geographic expansion is seen by investors as a key differentiator in the race to deliver clean, safe, and affordable nuclear energy.” newcleo CEO Stefano Buono said.
Recycled Nuclear Fuel At The Center Of Strategy
Newcleo is developing lead cooled fast reactors designed to reuse existing nuclear waste as fuel, an approach aimed at reducing long-term storage challenges while generating consistent electricity supply. The technology combines advanced reactor design with recycled fuel cycles to address both waste management and grid stability concerns.
Unlike traditional nuclear projects that depend on fresh uranium supply chains, fast reactors operating on reprocessed waste could lower fuel costs while aligning with circular economy principles increasingly emphasized in European energy policy. For investors and policymakers, the concept offers a pathway to scale nuclear capacity without expanding waste inventories.
The company’s commercialization roadmap includes licensing, siting, and research initiatives in France, Italy, Slovakia, and the United States, highlighting the cross-border nature of regulatory engagement required to bring advanced nuclear designs to market.
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Policy Tailwinds And U.S. Expansion Plans
A portion of the new funding will support expanded research infrastructure in Europe and accelerate growth in the United States, where nuclear policy has shifted toward faster approvals and domestic production incentives.
Buono previously indicated the company intends to capitalize on evolving U.S. regulatory dynamics, including recent executive action aimed at streamlining licensing timelines and boosting nuclear manufacturing capacity. For advanced reactor developers, regulatory clarity remains one of the largest barriers to deployment, making policy alignment a critical driver of investment.
Industrial participation in the funding round also reflects a strategic hedge against energy price volatility. Cement and steel producers, facing mounting carbon pricing and electrification demands, increasingly view long-term power partnerships with advanced nuclear developers as a way to stabilize operating costs while meeting emissions targets.
What Investors And Executives Should Watch
Newcleo’s financing illustrates a broader trend in which advanced nuclear ventures are attracting capital not only from venture funds but from end users seeking direct influence over energy supply chains. That shift has implications for governance structures, project financing models, and corporate decarbonization strategies.
Small modular reactors remain early stage compared with large scale renewables, yet their appeal lies in delivering firm, dispatchable power without the intermittency challenges facing wind and solar. As electricity demand grows from data centers, industrial electrification, and AI infrastructure, companies capable of securing reliable low carbon baseload energy may gain a competitive edge.
For policymakers, the emergence of recycled fuel reactors raises complex questions around waste regulation, licensing harmonization, and public acceptance. The success of projects like newcleo’s will likely depend as much on regulatory coordination as on technological performance.
As nuclear energy regains traction across Europe and North America, the entry of industrial capital into reactor development signals a deeper convergence between climate policy, heavy industry decarbonization, and long-term infrastructure finance. Whether advanced designs can move from prototype to commercial scale will shape the trajectory of global clean energy portfolios in the decade ahead.
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