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Transforming Westinghouse with Government Backing

The Trump administration’s plan to inject $80 billion into U.S. nuclear power could reshape Westinghouse into an independent, publicly traded company, with the federal government taking a meaningful ownership stake. The deal was formalized last week between the U.S. Commerce Department and Westinghouse’s owners, Cameco and Brookfield Asset Management, as part of a national push to expand clean energy infrastructure.

The government could become an 8% shareholder in Westinghouse if the company’s valuation reaches $30 billion or more, with an IPO potentially required on or before January 2029. Cameco Chief Operating Officer Grant Isaac clarified that the stake applies solely to Westinghouse, not Cameco or Brookfield themselves.

Potential Spin-Off and Investment Strategy

Cameco and Brookfield are weighing options for Westinghouse’s future. “We’re keeping all options on the table,” Isaac said. “We may hold our shares beyond 2029 or consider spinning out the company if the valuation is compelling.”

Cameco, a leading global uranium miner, and Brookfield, a major energy infrastructure investor, see strategic value in separating Westinghouse as an independent entity, especially given the government’s financial backing.

U.S. Government Financing and Reactor Rollout

The federal government’s involvement hinges on final agreements to construct new reactors across the country with a combined value of $80 billion. Financing could involve Department of Energy loans or other public-private mechanisms. The initiative is part of a broader plan to meet growing energy demand from industries and data centers.

Westinghouse’s AP1000 reactor, capable of producing 1 gigawatt of electricity—enough to power over 750,000 homes—will form the backbone of the expansion. President Trump issued an executive order in May calling for 10 new nuclear reactors by 2030, with Westinghouse committed to delivering.

Past Challenges and Current Ownership

Westinghouse has a history of production delays and cost overruns. It filed for bankruptcy in 2017 due to problems at large projects in Georgia and South Carolina. Since emerging from bankruptcy, Brookfield acquired a 51% stake and Cameco holds 49%, purchasing the company in 2023.

The first two AP1000 reactors went live at Plant Vogtle, Georgia, in 2023 and 2024, while the South Carolina project was canceled. A major government-backed order could stimulate the nuclear supply chain, according to Isaac, providing the scale needed to make future projects viable.

Strategic Implications

The federal involvement in Westinghouse highlights a broader strategy to secure U.S. energy independence, boost domestic nuclear capacity, and catalyze private investment. Analysts note that an IPO with government participation could significantly raise Westinghouse’s profile in the global nuclear market, attract additional capital, and encourage further innovation in reactor technology.

“This commitment by the U.S. government serves as a market stimulant,” Isaac said. “It ensures financing is available and provides the certainty necessary for long-term growth in nuclear infrastructure.”