Pasqal shares leap as French quantum firm makes Nasdaq debut

By Leo Marchandon

Aug 28 (Reuters) - Shares of French quantum-computing company Pasqal rose by as much as 73% in their Nasdaq debut on Friday before paring gains to trade 40% higher.

Pasqal, one of Europe's most significant contenders in the race to build commercially useful quantum computers, began trading after merging with blank-cheque company Bleichroeder Acquisition Corp II in a transaction that valued it at about $2 billion.

The deal left the loss-making company with approximately $360 million in cash to expand production.

Pasqal's Nasdaq debut coincides with a broad tech boom linked to the take-up of artifical intelligence.

It also follows U.S. President Donald Trump's order on accelerating quantum technology development. The Commerce Department signed preliminary agreements for about $2 billion in incentives to nine quantum companies. 

Pasqal is not among them, but has French government backing through state investment bank Bpifrance, which participated in financing linked to the merger.

Quantum processors are being developed to tackle specialised problems in fields such as drug discovery, materials science and financial modelling, but persistent errors have limited their reliability at scale.

Google expects uniquely quantum applications within five years, while IBM is targeting a large-scale, fault-tolerant machine by 2029.

Timelines vary widely and the industry has yet to find the breakthrough application that propelled artificial intelligence into widespread use.

Pasqal co-founder Alain Aspect shared the 2022 Nobel Prize for proving quantum entanglement, the phenomenon behind quantum computers. His later work controlling atoms with lasers contributed more directly to Pasqal’s processors.

It generated revenue of €16.5 million ($19.15 million) in 2025 and is one of the few quantum firms that already have commercial contracts. Its customers include the world's biggest oil company Saudi Aramco, which is exploring using its machine for modelling underground reserves.

Pasqal has deployed seven machines, including four at national supercomputing centres in France, Germany, Italy and Canada. Its plants in France and Canada can produce up to 13 machines a year, the company told Reuters. 

($1 = 0.8614 euros)

(Reporting by Leo Marchandon in Gdansk, Editing by Louise Heavens and Barbara Lewis)