SYDNEY — Firmus, a fast‑growing Australian data‑centre operator, is moving ahead with a $5 billion initial public offering on the Australian Securities Exchange despite projecting a $77 million loss for the first half of its 2027 financial year. The company, founded in 2019 and backed by investors including Blackstone, counts major AI and cloud players such as Nvidia, Meta and OpenAI among its customers.
IPO details and market context
The prospectus, circulated to prospective investors this week, shows Firmus planning to begin trading on October 22. If completed, the offering would be the second‑largest ever in Australia, trailing only Telstra’s $10 billion listing in 1997, according to Dealogic data. Analysts say the share sale will test investor appetite for firms building the infrastructure needed to support the artificial intelligence boom.
Financial outlook
Firmus expects a loss after tax of $77 million for the half ending 30 June 2027 on a pro‑forma basis. The company attributes historic losses to the costs of developing and scaling its data‑centre portfolio, which it says are necessary to secure substantial agreements with its high‑profile customers. The draft prospectus does not provide forecasts beyond the first half of FY 2027.
Growth strategy and projected earnings
Management estimates that once fully built, its data‑centre network could generate a combined $5 billion in annual earnings within five years. Currently, Firmus operates two data centres in Australia and Singapore, with five additional sites under development across the Asia‑Pacific region, most in early stages.
IPO timeline
The company will start an institutional book‑build on 6 October, according to a term sheet reviewed by Reuters. The prospectus is scheduled to become public on 8 October. Firmus declined to comment further on the offering.
Implications for the Australian tech sector
Should the IPO succeed, Firmus could be valued at up to $60 billion after the listing, according to local media reports. The capital raised will be used to fund further capital spending, expanding the firm’s capacity to meet rising demand for computing power that underpins AI applications.
While the projected loss may raise eyebrows, the company’s leadership emphasizes that the short‑term deficit reflects strategic investment in infrastructure that will position Firmus as a key player in the global AI ecosystem. Investors will be watching closely to see whether the market rewards the firm’s long‑term growth vision.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
