TECHTALKS

Nvidia-backed Firmus scraps $5.5-B IPO

DT · Oct 10, 2026, 3:05 AM

DESPITE backing from Nvidia and Blackstone, the company struggled to secure sufficient demand, highlighting growing investor skepticism over sky-high AI valuations and the enormous cost of building the infrastructure behind the technology. — Photo courtesy of Firmus

Nvidia-backed data center developer Firmus Grid has abandoned plans for a blockbuster Australian stock market debut after failing to win sufficient investor support for its soaring valuation.

The company announced Friday, 9 October, that it would withdraw its application to list on the Australian Securities Exchange, citing market volatility and unfavorable offering conditions.

Firmus had sought to raise as much as $5.5 billion in an initial public offering (IPO) that would have valued the company at $30 billion, nearly triple its $10.5-billion valuation less than three months earlier.

The proposed listing struggled to attract firm commitments from institutional investors, raising questions about how much investors are willing to pay for companies riding the artificial intelligence (AI)boom.

Some prospective backers reportedly questioned Firmus’ aggressive pricing, limited revenue and the possibility of existing shareholders selling their holdings shortly after its debut.

The company generated $51 million in revenue during its 2026 financial year despite pursuing an ambitious expansion of AI infrastructure across Australia and Southeast Asia.

Firmus plans to develop a network of AI data centers powered by Nvidia hardware. However, only 46 megawatts of its 912-megawatt development pipeline have been completed.

Without the IPO proceeds, the company must secure alternative financing to sustain its expansion, including a planned data center project in Batam, Indonesia, with DayOne Data Centers.

Firmus is reportedly considering another private funding round and discussions with existing and prospective investors.

Originally established as a Bitcoin mining operation in 2019, Firmus has since attracted major financial backing from Nvidia, Blackstone, Jane Street and Coatue Management.