NET Power LLC (NET Power) and Rice Acquisition Corp. II (RONI) expect to close their previously announced merger on June 8 with proceeds and cash totaling at least $670 million, according to a June 5 joint press release.

Proceeds consist of approximately $540 million in a fully committed PIPE (private investment in public equity) and $130 million in cash held in trust.  Upon completion, NET Power expects to have an initial enterprise value of approximately $1.5 billion and a market cap exceeding $2 billion, the companies said.

Gross proceeds from the acquisition will help to fund corporate operations for NET Power and increase the company’s backlog of utility-scale power plant projects beginning in 2026, according to the release.

Related: Danny Rice-led Merger Adds SK Group as JV Partner

Closing is subject to approval from the RONI shareholders, who will meet on June 6. The newly combined company will assume the name of NET Power Inc., and will use the NYSE ticker symbol “NPWR.”

"NET Power is uniquely positioned to deliver clean power technology that's also reliable and affordable,” said Danny Rice, incoming NET Power CEO. “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."

For RONI, Guggenheim Securities LLC is acting as lead financial adviser in connection with the business combination with NET Power. Barclays Capital Inc. is also serving as financial adviser. Kirkland & Ellis LLP is serving as legal counsel.

Citigroup Global Markets Inc. and Janney Montgomery Scott LLC are acting as capital markets advisers to RONI.

For NET Power, Credit Suisse Securities (USA) LLC is acting as financial adviser and capital markets adviser. Mintz, Levin, Cohn, Ferris, Glovsky and Popeo PC is serving as legal counsel. Barclays Capital Inc., Barclays Capital Inc. and Citigroup Global Markets Inc. are acting as lead placement agents and Credit Suisse Securities (USA) LLC is acting as co-placement agent on the PIPE. Vinson & Elkins LLP is serving as legal counsel to certain of the financial advisers, capital markets advisers and the placement agents.