Firmus Pulls $5 Billion IPO as Nscale Faces Valuation Pushback

Firmus withdrew its roughly $5 billion Australian IPO, while prospective investors are pushing back on Nscale’s roughly $30 billion proposed valuation for a U.S. listing.

Firmus shelved its offering Oct. 9 after seeking an equity value of $30.6 billion. It plans to pursue private funding. Firmus cited market conditions, while investors also raised concerns about its valuation, debt needs and execution. Before the withdrawal, UniSuper Chief Investment Officer John Pearce said, “At the current valuation, it's priced to perfection.” Pearce also expected Firmus to need more debt and equity to fund its expansion.

Nscale is pursuing a U.S. listing at a proposed company valuation of about $30 billion. Some prospective investors favor a range of $16 billion to $19 billion. Those figures refer to the company’s value, not a per-share IPO price. Nscale has not disclosed a share-price range or priced the offering.

Revenue totaled $140.6 million for the six months ended June 30, 2026, while Nscale posted a net loss of $1.02 billion. As of Aug. 31, 2026, it listed $103.4 billion in active and contracted total contract value. That figure covers agreements extending into future years; it is not revenue already earned. The figures therefore describe different periods and measures: reported revenue covers half a year, while contract value includes future agreements.

The question of whether AI infrastructure investment can generate operating revenue extends beyond these proposed listings. Nscale spun out of Arkon Energy in May 2024, when Arkon’s business included Bitcoin (BTC) mining infrastructure. Ionic Digital stopped mining at its Ward County, Texas, site in December 2025 while converting the property under an agreement with Nscale.

Nscale’s proposed valuation remains unresolved without a share-price range in its preliminary prospectus.