Ares Acquisition Corp., X-energy scrap $1.8B merger due to ‘persistently volatile public markets’

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Steve Gelsi covers banking and cannabis as a Senior Reporter for MarketWatch.

Ares Acquisition Corp. and X-energy Reactor Company LLC on Tuesday called off their $1.8 billion merger deal due partly to challenging market conditions. A shareholder meeting Tuesday to vote on the business combination is being postponed indefinitely. Ares Acquisition Corp., which is a special purpose acquisition company affiliated with Ares Management Corp.

will liquidate. At last check, the SPAC has a market capitalization of $688 million. X-energy will continue as a private company with an undisclosed investment from Ares Management Corp. “Both X-energy and AAC recognize the challenges presented by the current financial market environment and the opportunity for X-energy to continue forward as a private company,” X-energy founder and executive chairman Kam Ghaffarian said in a statement.

 

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