Nvidia-backed AI data centre firm Firmus abandons planned IPO

Summary

Nvidia-backed data centre operator Firmus has cancelled plans for an Australian stock-market listing that would have valued the company at more than $30bn. The company attributed the decision to recent market volatility and prevailing market conditions, saying a listing was not in the best interests of the business or its shareholders. Firmus will instead seek capital in private markets while considering other public and private options. The company builds and operates liquid-cooled data centres, which it calls “AI factories”, for clients including OpenAI and Meta, with operations in Australia, Singapore and elsewhere in the Asia-Pacific region. Nvidia, Blackstone and Jane Street are among its backers. UniSuper and another investment firm declined to participate because they considered the proposed valuation too high; UniSuper also expressed concern that Firmus might need to take on substantial additional debt to finance expansion. Analysts described the planned listing as a test of investor willingness to continue funding AI infrastructure despite uncertainty over long-term returns. Australia is attracting data-centre investment because of its energy, gas and land resources, but expansion has also prompted concerns about environmental effects and noise. The withdrawal comes amid wider uncertainty around AI-related stocks and potential listings by major AI companies.