AI data centre companies are struggling to go public: a Nvidia-backed data centre firm has scrapped its IPO as valuation concerns deepen, the BBC reported on 9 October, following a run of delays that Bisnow detailed in September. We could not access the full BBC article, so the specifics below come from Bisnow’s earlier reporting.
In this report
- The September delays
- Why investors are cautious
- Who is still lining up
- What happens next
- Data centre IPOs: questions answered
The September delays
Bisnow reported on 22 September that SoftBank-backed SB Energy delayed an offering after investors reportedly balked at a valuation above $50 billion. The company says it has 8.8 GW contracted or under construction, nearly all tied to an OpenAI-leased campus on federal land, and has not yet brought a data centre online. Nuclear and power firm Holtec postponed a Nasdaq IPO expected at up to $10 billion, citing “uncertainty of data center development”. Aggreko was reported to be slowing its process.
Why investors are cautious
Bisnow lists investor scepticism over valuations, local and state opposition to data centres, scarce large power supplies and labour shortages, and a sell-off in AI stocks over fears of slowing demand. The same pressure shows in Finland’s decision to halt Google data-centre construction.
Who is still lining up
Close to a dozen other firms reportedly still aim to list in the coming months, and Anthropic is reportedly on course for a late-2026 listing, per Bisnow. CyrusOne, Vantage, Switch and Nscale are reportedly exploring IPOs. Many in the industry say they are not worried about a demand slowdown. Note that these are industry-sourced claims from parties with an interest in the sector.
What happens next
Watch OpenAI’s own numbers, which are now in question after a reported revenue revision, and rate expectations given the three-year-high mortgage rates. If you run a business and are weighing where to base it, see our company formation guide.
Data centre IPOs: questions answered
Which data centre IPOs have been delayed?
Per Bisnow, SB Energy, Holtec and reportedly Aggreko, with the BBC reporting a Nvidia-backed firm scrapped its IPO on 9 October.
Why are investors hesitant?
Valuation scepticism, local opposition, power and labour constraints and an AI stock sell-off, according to Bisnow.
Is Anthropic still planning to list?
Bisnow reports it is still on target for late 2026.
Does this mean AI demand is falling?
Not necessarily; many industry figures say they see no demand slowdown, though that is a view from interested parties.
Related reading: US stocks slide as yields climb.