NET Power, LLC is going public. The clean energy company, delivering zero-emissions, affordable and on-demand energy, and Rice Acquisition Corp. II (NYSE: RONI) – a publicly traded special purpose acquisition company announced on June 5th they are about to close their previously announced business combination on June 8, 2023.
That means NET Power is expected to start trading on the New York Stock Exchange on June 9, 2023, under the ticker symbol NPWR. The new company will be named NET Power Inc. The closing of the business combination is subject to receipt of RONI shareholder approval at a general meeting of shareholders to be held on June 6, 2023.
The completion of the merger will mark the beginning of a new phase of development for NET Power which is accelerating its technology globally and funding operations and deployment of its next-generation natural gas power plants producing no emissions.
The business combination is expected to raise at least $670 million in gross proceeds consisting of $540 million in PIPE commitments and at least $130 million of cash held in trust accounts. The initial enterprise value of NET Power is expected to come at approximately $1.5 billion and the market valuation is around $2.207 billion.
“NET Power is uniquely positioned to deliver clean power technology that’s also reliable and affordable, and this highly successful capital raise in a turbulent market reflects the investment community’s belief in our technology and our vision to build a cleaner energy future while creating meaningful shareholder value,” said Danny Rice, incoming CEO of NET Power.
The company is also planning to launch its first commercial-scale plant that will be hosted by Occidental at its Permian Basin operations. The site is expected to come online in 2026 and mark the beginning of a ramp-up of the utility-scale 300MW plants. NET Power’s goal is to have 30 of its facilities developed by around 2030.