Starboard Value Builds Stake in Fluor

Fluor Corporation (NYSE: FLR) surged 5.2% in premarket trading Monday following a Wall Street Journal report that activist investor Starboard Value has taken a nearly 5% stake in the engineering and construction giant.

The move signals renewed activist pressure on Fluor to unlock shareholder value through strategic portfolio decisions.

Push to Reevaluate NuScale Power Stake

According to the report, Starboard wants Fluor to explore options for its 40% ownership in NuScale Power (NYSE: SMR) — one of the leading U.S. developers of small modular nuclear reactors (SMRs).

Key details:

NuScale shares have soared ~150% year-to-date, giving it a valuation above $12 billion.
Fluor’s stake is now worth billions, relative to its own market cap of ~$8 billion.
Starboard is reportedly urging Fluor to consider selling or monetizing part of its NuScale stake to strengthen its balance sheet and reward shareholders.

Activist Investor’s Next Move

Starboard CEO Jeff Smith is scheduled to speak Tuesday at the 13D Active Passive-Investor Summit in New York, where he is expected to outline his plans for Fluor and potentially reveal additional strategic recommendations.

Starboard has a long track record of successful activist campaigns in industrial and tech sectors, often pushing for asset optimization, divestitures, or management changes to enhance shareholder returns.

Market Context

Fluor’s long-standing investment in NuScale Power has been seen as both a strategic and financial bet on the future of modular nuclear energy. With NuScale’s recent rally, Starboard’s involvement could pressure Fluor to realize value while market sentiment remains high.