AI compute provider Nscale is looking for $3.5B in pre-IPO financing
AI infrastructure firm Nscale is seeking $3.5 billion in pre-IPO financing, including a significant investment from Nvidia. The company has seen rapid growth following a massive deal with Anthropic and is preparing for a potential public offering.
Why it matters
The massive capital raise highlights the intense investor appetite for AI compute infrastructure as a critical component of the current technology boom.
Nscale, a British AI infrastructure company founded just two years ago, has said it may go public as early as later this month. Ahead of that expected IPO, the company is reportedly in talks to raise an additional $3.5 billion.
Bloomberg reported Friday that the company is looking to sell $1.5 billion in convertible notes — a type of loan that can later convert into company stock — to a group of investors, while also seeking an additional $2 billion in financing from Nvidia.
Nvidia also participated in the firm’s Series B funding round in March, a $1.1 billion raise led by investment fund Aker. Nscale hailed its round as “the largest Series B in European history.” The company’s Series A round, in December of 2024, raised $155 million .
TechCrunch reached out to Nscale and Nvidia for comment.
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