Nscale raises $3.36B in pre-IPO round ahead of NYSE listing
The AI data center operator, spun off from crypto mining, prepares for one of the year's largest tech IPOs with backing from Third Point, Nvidia, and major funds.
What to know
- Nscale raised $3.36 billion in pre-IPO convertible financing from Third Point and others including Nvidia, ahead of a planned NYSE listing in 2026 targeting ~$30 billion valuation.
- The company holds $103 billion in contracted value but reported $1.02 billion in losses for H1 2026 despite 1,252% revenue growth, reflecting heavy infrastructure investment.
- Nscale's Monarch Compute Campus in West Virginia aims to provide up to 8GW of AI compute capacity, with only 5% of its targeted 461,000 GPUs currently energized.
- Convertible notes will automatically convert to ordinary shares upon IPO completion, with Nvidia receiving non-voting shares from its $1 billion tranche due mid-November 2026.
“With the backing of these world-class investors, we are strongly positioned to accelerate our data center buildouts globally.”
Josh Payne, CEO · DatacenterDynamics ↗
Josh Payne Founder and CEO of NscaleThird Point Lead investor in pre-IPO roundNvidia GPU provider and investorNscale Limited AI data center operator
How it unfolded 2 developments, newest first · click a bar or a number to jump articles
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Monarch Compute Campus in West Virginia could host up to 8GW of capacity
Nscale acquired the 2,250-acre site in March 2026. Phase I is planned at 2GW and expected online by H1 2028. Anthropic committed to over 400MW and Microsoft to 1.35GW at the campus, which will use Nvidia Vera Rubin NVL72 GPUs. However, only 5 percent of the 461,000 GPUs targeted company-wide are currently energized.
“This marks a milestone for Nscale as we continue scaling our full-stack AI infrastructure to meet unprecedented global demand.”
— Josh Payne, Founder and CEO of Nscale, CEO · source -
first by WOWTALE, 2d ago · also Tech in Asia, SiliconANGLE, Fierce Network, DatacenterDynamics
4 more headlines
- Nvidia-backed Nscale raises $3.36b ahead of NYSE listing Tech in Asia · 2d ago
- AI data center builder Nscale raises $3.36B ahead of IPO SiliconANGLE · 2d ago
- Neocloud Nscale raises $3.36B ahead of IPO Fierce Network · 2d ago
- AI cloud and data center firm Nscale raises $3.36bn ahead of its IPO DatacenterDynamics · 2d ago
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background
Nscale's IPO filing reveals $103 billion in contracted value and $1.02 billion in losses — Nscale's prospectus shows revenue of $140.6 million for the first half of 2026, up 1,252 percent year-over-year, but losses ballooned to $1.02 billion from $368.9 million in the same period of 2025. The company has $103 billion in total contracted value, largely from deals with Anthropic and Microsoft, with major contracts backing expansion of its Monarch Compute Campus in West Virginia.
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background
Convertible notes will auto-convert to shares upon IPO completion — Under the deal terms, the loan notes will automatically convert into ordinary shares upon Nscale's IPO, with Nvidia receiving non-voting shares. Goldman Sachs acted as placement agent, with JPMorgan Chase and Morgan Stanley serving as lead underwriters alongside 19 additional investment banks.
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Nscale secures $3.36 billion in pre-IPO convertible financing
The London-based AI data center operator raised $3.36 billion through convertible loan notes, led by Third Point with participation from Nvidia, Apollo, Citadel, Hudson Bay Capital, Abu Dhabi Investment Council, and others. The financing consists of $2.36 billion at closing and an additional $1 billion commitment from Nvidia expected by mid-November 2026.