Singapore-based data center operator DayOne is pushing ahead with its plans to go public as soon as November 2025, according to reports from Reuters. The company plans to make its filing with the US Securities and Exchange Commission public in mid-October 2025 and list in November, though the plans are subject to change. This timing comes amid growing investor scrutiny of data center operators and higher interest rates that are making it more expensive to finance facilities with returns that may take years to materialize. As per The Economic Times, the company is moving forward with plans for an initial public offering despite heightened investor scrutiny of AI infrastructure, financing costs, customer concentration, secured power capacity and contracted revenues as IPO markets become more selective.
DayOne's IPO intentions follow two setbacks for data center operators this week: the delay of SB Energy's expected IPO and news of a dispute centering on Oracle and Blue Owl that could delay a data center project in New Mexico. As reported by Reuters, these developments highlight how the market for AI infrastructure is maturing after years of strong investor enthusiasm. Companies with diversified customers and greater visibility into demand can still attract interest, while projects that rely heavily on a single AI customer face greater scrutiny. According to The Economic Times, the developments underscore a maturing market after years of strong investor enthusiasm for AI infrastructure, with operators with diversified customers and greater visibility into demand continuing to attract investor interest.
According to Reuters, DayOne is backed by investors like Coatue and Hillhouse and raised ₹37,250 crore ($4.5 billion) in a Series C funding round that closed in June. The company could seek to raise as much as ₹42,500 crore ($5 billion) in the IPO at a valuation of about ₹1,62,500 crore ($20 billion). It has secured about 21 gigawatts of capacity bookings and operates across Asia-Pacific and Europe, including Malaysia, Hong Kong, Japan, Finland and Spain. DayOne's geographic diversification and the fact it has operational data centers, not just ones under development, have helped distinguish it from some rivals in the eyes of investors, according to Reuters. As per The Economic Times, the company has secured about 2.1 gigawatts of capacity bookings and operates across Asia-Pacific and Europe, including Malaysia, Hong Kong, Japan, Finland and Spain.
As reported by Reuters, SB Energy has postponed plans to formally market its IPO this week as it works to address additional questions from the US Securities and Exchange Commission. The company is seeking a valuation of about ₹4,80,000 crore ($60 billion) and faces investor concerns over its reliance on OpenAI as a major customer. There have been various dealings between SoftBank, SB Energy, OpenAI and Nvidia in recent months, with Nvidia agreeing to provide a guarantee of up to ₹8,42,500 crore ($105 billion) to help OpenAI lease the Ohio data center being developed by SB Energy. Discussions around the IPO have centered on a valuation of about ₹4,80,000 crore ($60 billion), according to Reuters. The relationship between SB Energy, SoftBank, OpenAI and Nvidia has also become increasingly intertwined as companies seek to finance the rapid expansion of AI infrastructure, with SoftBank separately seeking investor orders for a $10 billion dollar-denominated debt offering to help finance its investments in OpenAI.
According to Reuters, investor scrutiny is intensifying as a growing pipeline of companies head toward the public markets, with data center developers and operators including Switch, Vantage Data Centers and CyrusOne exploring or preparing IPOs. Neil Bear-Hetherington, director of data centre capital markets, Asia Pacific at CBRE, noted that for developers relying on debt, contracted revenue from creditworthy customers is crucial to servicing that debt. Ke Yan, head of research at Shenton Research, emphasized that the dividing line is whether demand is contracted and already energized, or only planned, with investors favoring operators with secured power supply and long-dated take-or-pay contracts. As per The Economic Times, investors are increasingly focused on whether data center demand is supported by contracted revenue and existing power availability, with secured power supplies, operational or near-completion capacity and long-term take-or-pay agreements becoming important factors for investors assessing the sector. Switch has filed confidentially for an IPO and is expected to launch its offering following DayOne, according to Reuters.
