Investing into the energy transition
Investors seeking to invest in funds that are aiding humanity's transition away from fossil fuels have long had a very difficult time. First, most mutual funds still invest in fossil fuels. Impact or "green" funds that endeavor to eliminate emissions, frequently just fail to invest in energy at all. Yet energy is vital to a functioning society. Virtually no funds held allocation in nuclear power generation. Those that did, invested in public utilities and mining companies. In 2016, we recognized that there were numerous small, privately-held ventures innovating around nuclear power, seeking to develop advanced and simplified reactors that could meet the need in the market for smaller, more affordable, low-carbon power systems. We wanted to invest in these ventures but there were no investment vehicles available.
A nuclear-focused fund
We kept watching this tiny atomic-tech sector develop. In 2016, the 1st Advanced Nuclear Summit and Showcase attracted four dozen exhibitors. By 2018, the number of ventures attending the 3rd Advanced Nuclear Summit had nearly doubled. Virtually all were trying to figure out how to raise capital. At the same time, at Climate Investor summits, impact investors were struggling to find promising investment opportunities. It was clear that these two groups needed each other. Then Rod Adams published this post at Atomic Insights, writing "I’d be interested in hearing from anyone with thoughts about developing mechanisms for investors with moderate resources and long time horizons to focus part of their portfolio in this potentially high payoff field." That was the start of a conversation that has continued to this day and which eventually led to a new partnership and the formation of Nucleation Capital.
Meet the team
Nucleation Capital is co-managed by Valerie Gardner and Rod Adams, who began working together in early 2018 with the joint goal of launching a fund to invest in private ventures innovating in and around nuclear energy. They recognized that, in order to invest intelligently into an area as technically complicated as nuclear power, there needed to be a complementary pairing of critical skills sets combining the deep technical know-how and industry expertise with venture investment expertise that understands the distinctive entrepreneurial challenges involved with hardware development. These are the exact backgrounds brought by this interdisciplinary team.
Valerie and Rod are joined by Dr. Jonathan Tiemann, an investment expert and entrepreneur with whom Valerie co-founded TIA and Rick DeGolia, a clean energy leader, attorney, CEO and investor who understands the evolving needs of clean energy developers and buyers within deregulated markets. Nucleation is further supported by a wide range of advisors, spanning deep nuclear and tech industry experts, lab engineers and regulators to veteran venture investors, public market actors and others. Nucleation, having been formed during the height of the Covid-19 pandemic, benefits from having honed highly efficient processes leveraged by remote work technologies. Both Valerie and Rod have built expansive networks over decades, and these distincitve networks combined with a strategy that boldly adopts new emerging technologies have enabled Nucleation to thrive as a native virtual firm with superior economics.
Valerie Gardner, Managing Partner & Founder
Valerie Gardner is a seasoned executive and investor with a background in technology entrepreneurship and impact investing. She has co-founded and led five ventures, including two hightech companies: Willow Peripherals and WebTV Networks (acquired by Microsoft), both hardware technology development ventures that innovated and sold category-creating consumer electronics products; two investment firms: Tiemann Investment Advisors (TIA), a $300+ AUM registered investment advisory firm which developed a proprietary pronuclear clean energy portfolio strategy for portfolios of public equities; and Nucleation Capital, which launched the first nuclear-focused venture fund that makes investing in advanced nuclear private ventures both accessible and affordable for accredited investors; and one non-profit, Climate Coalition, a group advocating for nuclear-inclusive climate and clean energy policies. Valerie holds an MBA from Yale University and a JD from Northeastern University and lives in the San Francisco Bay Area surrounded by her nuclear family.
Rodney Adams, Managing Partner
Rod Adams is a distinguished nuclear expert and visionary with a comprehensive multi-decadal career in the atomic energy sector. Rod’s passion for nuclear power was built upon his extensive experience through eleven naval deployments as a Navy nuclear submarine engineer, from which he retired as a Commander. In between deployments, Rod veered into entrepreneurship by founding Adams Atomic Engines in 1992, which was likely the first advanced nuclear start-up ever launched. He experienced both the joys and the travails of many founders who were ahead of their time,: he successfully raised angel capital from friends and family but found no VCs ready to invest and get Adams Atomic Engines to the next level. Rod eventually was recalled to the Navy where he served in several senior roles including at the Naval Academy and at Navy headquarters in D.C. After his Naval service, he held pivotal roles in the nuclear industry, including at a company innovating an advanced nuclear design and consulting to other companies. Rod's abiding passion to see the nuclear industry innovate, improve and win greater public support inspired him to launch Atomic Insights in 1995 as a platform through which to discuss and analyze issues facing the nuclear industry. Rod holds both a bachelors degree from the United States Naval Academy (USNA) and a masters in Systems Technology from the U.S. Naval Postgraduate School. He lives in the Tampa Bay Area and is frequently out boating or biking.
Jonathan Tiemann, CFO
Dr. Jonathan Tiemann, co-founder of Tiemann Investment Advisors, LLC, has over 30 years of investment experience, including over 20 years as President and Chief Investment Officer of Tiemann Investment Advisors. Prior to TIA, Dr. Tiemann taught Finance at Harvard Business School for five years before leaving academia for Barclays Global Investors (formerly Wells Fargo Nikko Investment Advisors and currently Blackrock), where he became Chief Investment Strategist, responsible for nearly $200 billion in institutional assets. He earned his B.S. in Applied Mathematics from Yale, his M.S. in Operations Research, and his Ph.D. in Finance from Yale.
Rick DeGolia, Managing Member
Rick DeGolia is an attorney who has worked in Silicon Valley as a lawyer, senior software executive, business consultant and entrepreneur. He holds a B.A. in American Studies from U.C. Berkeley and a J.D. from Harvard Law School. As a partner with Wilson, Sonsini, Goodrich & Rosati, Rick represented emerging growth companies in the software, retail, telecommunications, venture capital and investment banking industries. Rick serves on the board of Peninsula Clean Energy, one of the largest Community Choice Aggregators (CCA's) in California and is an expert in buying clean energy.
Ian Brusewitz, Associate
Ian Brusewitz is an international student from Sweden, in his last year earning a degree in Finance and Business Analytics at Menlo College in Silicon Valley. He brings considerable finance and business acumen as well as energy and resourcefulness to supporting Nucleation Capital's operations. Ian supports investment research, analysis, energy modeling, due diligence, CRM data management, website updates, and a host of other tasks. Ian is fluent in English, Swedish and Norwegian and brings a passion for energy and tech innovation.
