Nvidia-backed Firmus scraps $5 billion Australian IPO amid valuation concerns
Nvidia-backed data center operator Firmus has canceled its planned $5 billion Australian initial public offering after investors pushed back against its valuation, opting instead to pursue private capital.
Australian artificial intelligence data center operator Firmus, backed by Nvidia, has withdrawn its planned $5 billion initial public offering in Australia. In an emailed statement to CNBC, the company cited market volatility and conditions for pulling the listing, which had planned to price shares at A$11 apiece in what would have been the second-largest new share sale in Australian history.[2][3][7][12]
The offering unraveled over 48 hours of weak demand as global fund managers grew cautious over rich AI sector valuations. According to Bloomberg, U.S. fund managers balked at a valuation of around $30 billion for a company that generated $51 million in revenue for fiscal year 2026. Crypto Briefing also noted that investors hesitated over a $30.6 billion valuation while Firmus carried around $30 billion in debt.[1][6][8][10][13]
The pulled listing, seen by The Straits Times as a warning signal for wider AI infrastructure financing, has prompted Firmus to adjust its capital plans. Quartz reported that the firm is exploring a $2 billion to $3 billion private funding round, while The Daily Block reported that Firmus intends to secure private capital before eventually targeting a listing on the Nasdaq.[1][4][5][9][11]
Key facts
- Firmus withdrew its planned $5 billion Australian IPO following 48 hours of weak investor demand.
- Firmus cited market conditions and volatility in an emailed statement to CNBC explaining the withdrawal.
- The IPO was planned at A$11 per share, which would have marked the second-largest new share sale in Australian history.
- Investors hesitated at a valuation of $30 billion to $30.6 billion against Firmus's $51 million in revenue for fiscal year 2026.
- Firmus carried roughly $30 billion in debt alongside concerns over massive infrastructure spending.
- Firmus is now exploring a $2 billion to $3 billion private round and aims to pursue private financing before seeking a Nasdaq listing.
Sources · 9 sources
- TD
The Daily Block@thedailyblockPost on X ·
🚨 BREAKING: Nvidia-Backed Firmus Scraps $5B IPO Australian data center operator Firmus has shelved its $5B IPO amid growing investor concerns over AI valuations, massive infrastructure spending and debt. The company will pursue private fundraising before targeting a Nasdaq listing.
Open source - FT
Financial Times@FTPost on X ·
Australian data centre operator pulls $5bn IPO https://t.co/i68kjsX2Dy
Open source - CN
CNBC@CNBCPost on X ·
Australian AI data center operator Firmus, which is backed by Nvidia, has withdrawn its planned mega initial public offering, citing market volatility and conditions, the company said in an emailed statement to CNBC. Firmus had reportedly planned to raise $5 billion in its IPO, pricing shares at A$11 apiece, which would have made it the second-largest new share sale in Australia’s history: https://t.co/eHjltaY0WD
Open source - TS
The Straits Times@straits_timesPost on X ·
Nvidia-backed Firmus drops Australian IPO plans; move sends AI funding warning https://t.co/BCEAeOb6zT
Open source - QU
Quartz@qzPost on X ·
Firmus ditches $5B Australian IPO, now chasing private billions instead: After pulling what would have been one of Australia's largest-ever IPOs due to market volatility and valuation concerns, AI data center firm Firmus is now exploring a $2–3B… dlvr.it/TVs1b9 #IPO #Firmus https://t.co/xmY7kyBK8v
Open source - CB
Crypto BriefingArticle ·
Firmus shelves multibillion-dollar Australian IPO as investor demand falls short Firmus's IPO withdrawal highlights challenges in securing investor confidence amid market volatility, impacting future AI infrastructure investments. The post Firmus shelves multibillion-dollar Australian IPO as investor demand falls short appeared first on Crypto Briefing .
Open source - CN
CNBC@CNBCPost on X ·
Nvidia-backed Aussie AI firm Firmus withdraws historic IPO, citing market volatility https://t.co/e2Xuh5Yp41
Open source - TE
Techmeme@TechmemePost on X ·
Sources detail how Firmus' IPO collapsed in 48 hours after US fund managers deemed its $30B valuation too rich for a company with just $51M in FY 2026 revenue (Bloomberg) (Visit Techmeme dot com for the link and full context!)
Open source - QU
Quartz@qzPost on X ·
Firmus ditches $5B Australian IPO, now chasing private billions instead After pulling what would have been one of Australia's largest-ever IPOs due to market volatility and valuation concerns, AI data center firm Firmus is now exploring a $2–3B pr #Firmus #IPO #AIInfrastructure https://t.co/OUAM8sjKaO
Open source - BL
Bloomberg@businessPost on X ·
Firmus abandoned its attempt at one of Australia’s biggest-ever initial public offerings, after the Nvidia-backed data center company failed to lure global investors who’ve grown increasingly skittish over frothy AI valuations: https://t.co/7oQV0XBdDg https://t.co/aL47mo8Vmx
Open source - TS
The Straits Times@straits_timesPost on X ·
Nvidia-backed Firmus shelves IPO, eyes private funding https://t.co/Qh8yX1WYhf
Open source - NA
Nikkei Asia@NikkeiAsiaPost on X ·
Nvidia-backed Firmus scraps $5bn Australian IPO on weak demand https://t.co/lcX5fhcjpe
Open source - CB
Crypto BriefingArticle ·
Firmus pulls ASX IPO after 48 hours of weak demand Firmus Technologies withdrew its ASX IPO after 48 hours as investors balked at a $30.6 billion valuation and around $30 billion in debt. The post Firmus pulls ASX IPO after 48 hours of weak demand appeared first on Crypto Briefing .
Open source