NuScale Power Faces Securities Fraud Allegations After Stock Drop

BFA Law Notifies Investors to Act After 12% Plunge Tied to ENTRA1 Issues

Mar. 30, 2026 at 10:38am

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A photorealistic studio still life featuring a shattered glass model of a nuclear reactor core, scattered financial documents, and a cracked tablet displaying stock charts, all on a clean, monochromatic background, conceptually representing the corporate strategy and market impacts of the alleged securities fraud.The shattered remnants of NuScale's nuclear technology symbolize the fallout from alleged misrepresentations that led to a significant stock decline.NYC Today

A securities fraud class action has been filed against NuScale Power Corporation and certain executives, alleging misrepresentations about the experience and capabilities of ENTRA1 Energy LLC, a key partner, leading to a 12.4% stock drop in November 2025.

Why it matters

The lawsuit claims NuScale executives misled investors about ENTRA1's role in developing and commercializing NuScale's nuclear power modules, which are central to the company's business. The significant stock decline highlights the potential financial impact of such alleged misconduct.

The details

The complaint asserts claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, alleging NuScale touted ENTRA1's purported wide-ranging capabilities and deep experience developing power plants, when in truth ENTRA1 had never built, financed, or operated any significant project. On November 6, 2025, NuScale disclosed a $495 million payment to ENTRA1, and acknowledged ENTRA1 did not have significant nuclear power experience.

  • The class period begins on an unspecified date prior to the start of the alleged misconduct.
  • The largest alleged stock decline occurred on November 10, 2025, when NuScale's stock dropped 12.4%.
  • Investors have until April 20, 2026 to ask the Court to be appointed to lead the case.

The players

NuScale Power Corporation

A nuclear technology company whose core technology is the NuScale Power Module, a small modular nuclear reactor designed to generate energy within a broader power plant.

ENTRA1 Energy LLC

A company that was responsible for constructing power generation facilities incorporating NuScale's nuclear power modules and managing the financing, development, and initial operations of the facilities.

Wadie Habboush

The principal of ENTRA1, described as an investor and entrepreneur.

Bleichmar Fonti & Auld LLP

The law firm that filed the securities fraud class action lawsuit against NuScale and its executives.

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What’s next

The judge in the case will decide on April 20, 2026 whether to appoint a lead plaintiff to represent the class of investors.

The takeaway

This case highlights the importance of accurate and transparent disclosures by public companies, especially regarding key partnerships and the capabilities of critical business components. Investors will be closely watching the outcome of this securities fraud lawsuit.