Nvidia-Backed Firmus Scraps Australia’s Second-Largest IPO Plan After Poor Demand and Volatile Market: 'Not in the Best Interests…'
Nvidia Corp. (NASDAQ: NVDA ) -backed Firmus has reportedly shelved its AUD $7.1 billion ($4.95 billion) initial public offering in Australia after poor demand and volatile market conditions, and will raise money privately instead. Turns to Private Markets “Firmus will now pursue capital from the private markets and consider alternative public and private market options,” the company said, The terms did not accurately reflect the strength of its business and its long-term growth outlook, the data center operator added. “The board therefore concluded that proceeding with the offer was not in the best interests of the company and its shareholders,” it said. The company cited market volatility and conditions as reasons to shelve the offering. The offering would have been the second-largest new share sale in Australia’s history, but it failed to draw strong demand. Firmus did not immediately respond to ’s request for comment. Read Also: Elon Musk Hypes ‘Very Big Deal,’ but Cathie Wood Hits Sell on SpaceX Along With Meta, AMD and Google — Ark Loads Up on This Defense Stock IPO Would Have Valued Firmus At $30.6 Billion Firmus had planned to sell shares at AUD $11 ($7
Nvidia Corp. 95 billion) initial public offering in Australia after poor demand and volatile market conditions, and will raise money privately instead. Turns to Private Markets “Firmus will now pursue capital from the private markets and consider alternative public and private market options,” the company said, The terms did not accurately reflect the strength of its business and its long-term growth outlook, the data center operator added. “The board therefore concluded that proceeding with the offer was not in the best interests of the company and its shareholders,” it said.
The company cited market volatility and conditions as reasons to shelve the offering. The offering would have been the second-largest new share sale in Australia’s history, but it failed to draw strong demand. Firmus did not immediately respond to ’s request for comment. 5 billion valuation from a funding round in August.
In that round, the company raised $2 billion from investors including Nvidia, Coatue, Blackstone Inc. (NYSE: BX ) and Jane Street. Last month, Firmus announced agreements with Meta Platforms Inc. (NASDAQ: META on Sept.
29 for GPU compute capacity at its AI factories in Southeast Asia. S. IPOs were postponed or pulled in the third quarter, up from four in the second, according to Vested. 2 billion listing on Sept.
29, citing market uncertainty. Higher bond yields and interest rates have weighed on new listings, with the 10-year Treasury yield hitting its highest level since 2002 this week, while the 30-year yield climbed to a 24-year high. 74 in extended trading, according to Pro. Edge rankings indicate Nvidia’s stock has a Momentum score in the 87th percentile and a Growth score in the 98th percentile.
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