Nscale seeks $3.5B in financing ahead of planned US IPO

A company that didn’t exist two years ago is now trying to raise $3.5 billion before going public at a valuation that could hit $30 billion. Nscale, a London-based AI cloud infrastructure provider founded in 2024, is in advanced negotiations for pre-IPO financing that would set the stage for one of the most ambitious tech listings in recent memory.

The fundraising package reportedly includes up to $1.5 billion in convertible notes led by hedge fund Third Point, plus roughly $2 billion in investment from Nvidia. Goldman Sachs is advising on the effort. If the IPO follows as planned, it could raise an additional $3 billion, potentially launching as early as September 2026.

A revenue backlog that doubled in a month

The company’s contracted revenue backlog has ballooned to approximately $103 billion, nearly doubling from around $51 billion just a month prior.

The catalyst for that jump: a six-year, $45 billion agreement with Anthropic for capacity at Nscale’s West Virginia campus. That single deal accounts for nearly half of the entire backlog increase.

Nscale has also secured contracts with Microsoft and OpenAI, according to reports, further cementing its position as a go-to provider for companies whose entire business model depends on access to massive computing power.

The financing structure

The convertible notes being led by Third Point are priced at a double-digit discount to the forthcoming IPO price, with conversion adjustments capped at a $30 billion valuation.

Nscale’s most recent private valuation stood at $14.6 billion, set during a $2 billion Series C round completed in March 2026. If the IPO prices at or near the $30 billion convertible cap, that would represent roughly a 2x jump from the Series C in a matter of months.

From zero to IPO in two years

Josh Payne founded Nscale in 2024 with a focus on vertically integrated AI infrastructure, meaning the company controls the full stack from data center construction to GPU deployment to cloud services.

The company’s investor roster includes Nvidia, Dell, Nokia, Point72, Citadel, and Norwegian conglomerate Aker. The board features Sheryl Sandberg, the former Meta COO, and Nick Clegg, the former UK Deputy Prime Minister who also served as Meta’s president of global affairs.

Goldman Sachs and JPMorgan have been involved in IPO preparations since February 2026, suggesting the listing has been in the works for months rather than being a sudden decision.

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