Nvidia-Backed Firmus Withdraws US$5 Billion Australian IPO After Lukewarm Demand

Firmus, the Australian AI data-centre operator in which NVDA holds a 7.2% stake, withdrew its application to list on the Australian Securities Exchange on October 9, 2026. The offer would have raised about US$5 billion, roughly A$7.2 billion, at A$11 a share, valuing the company at about A$43.7 billion (around US$30.6 billion). Before pulling the deal, Firmus had considered cutting the price to A$8.25 a share.

The board said recent market volatility meant the terms on which the offer could proceed would not reflect the strength of the business, and concluded that proceeding was not in shareholders' best interests. Reuters reported lukewarm demand tied to the company's debt pile, its lack of a track record building AI data centres, and media reports that a key partner had pulled out of an A$73 billion data-centre development. Australian borrowing costs add to the backdrop: the benchmark rate hit 5.36%, its highest since 2002.

Firmus says it will now pursue capital from private markets and consider alternative public and private market options. Bloomberg reported the company is exploring raising US$2 billion to US$3 billion from existing investors, possibly as a mix of equity and debt. Its backers include Nvidia, Coatue Management, Blackstone and Jane Street.

The withdrawal is one of the larger pulled listings of the AI infrastructure cycle and lands as investors scrutinise how capital-heavy data-centre builders fund themselves. What to watch: the size and terms of any private round, whether Firmus revisits an international listing, and whether other heavily levered AI infrastructure issuers face the same resistance on price.