London-based AI infrastructure firm Nscale is preparing for an IPO on the NYSE under the ticker NSCL, aiming for a valuation of up to $35 billion. The company intends to raise approximately $3 billion through the issuance of new shares. This target represents a significant increase from its March 2026 Series C valuation of $14.6 billion.
Financial results for the first half of 2026 show revenue of $140.6 million, up from $10.4 million in the same period last year, alongside a net loss of $1.02 billion. While Nscale reports a total contracted value of $103.4 billion, primarily tied to Microsoft and Anthropic, only 2.5% of this backlog was active as of late August.
Operational challenges include a six-month delay at the company's Norwegian facility, where only 6.4 MW of a planned 30 MW capacity is currently operational. Additionally, Microsoft withdrew from a planned UK data center project due to power supply issues. These factors, combined with high debt and sector-wide volatility, have led to investor pushback.
On September 25, 2026, Nscale secured $3.36 billion via pre-IPO convertible notes led by Third Point, with participation from Apollo, Citadel, the Abu Dhabi Investment Council, and Nvidia. Nvidia contributed $1 billion and serves as both an investor and a GPU supplier. The notes include a conversion cap set at a valuation of $30 billion.
