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Firmus: Nvidia-backed data centre firm scraps IPO as AI valuation concerns deepen


Artificial intelligence (AI) data centre company Firmus has scrapped its plans for what would have been one of Australia’s biggest-ever stock market listings.

The Nvidia-backed firm said it had made the decision due to “recent market volatility and prevailing market conditions” and that going public would not be in the company or shareholders’ best interests.

Firmus had initially announced plans for a stock market debut that valued the company at more than $30bn (£22.65bn).

One investment firm told the BBC that it had decided not take part in the initial public offering (IPO) over concerns about its valuation.

“Firmus will now pursue capital from the private markets and consider alternative public and private market options. We will provide additional information to shareholders as those options progress,” the company said.

Firmus builds and operates liquid-cooled data centres, or what it calls “AI factories”, for clients including OpenAI and Meta.

It has operations in Australia, Singapore and other parts of the Asia-Pacific region.

The company’s backers include Nvidia and major investment firms Blackstone and Jane Street.

Blackstone declined to comment when contacted by the BBC.

Nvidia and Jane Street have also been contacted for comment.

The decision by Firmus to scrap its stock market listing comes as investors and industry analysts have raised concerns about the hundreds of billions of dollars being poured into AI as the prospects for long-term returns remain unclear.



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