July 6 (Reuters) – Data center provider Csquare is targeting a valuation of up to $4.18 billion in its U.S. initial public offering, riding a wave of investor enthusiasm for companies expected to benefit from the AI boom.
The Dallas-based company said on Monday it aims to raise up to $1.35 billion in the IPO by offering 50 million shares at $23 to $27 apiece.
New listings in the U.S. have picked up after geopolitical tensions briefly cooled issuance earlier this year, while surging demand for AI computing infrastructure has boosted investor interest in data center operators.
AI chipmaker Cerebras Systems’ shares surged in their market debut in May after the company raised $5.55 billion in its IPO, with the market now awaiting potential blockbuster listings from Anthropic and OpenAI.
Founded in 2019, Csquare owns and operates 64 data center sites across 21 metropolitan markets in North America and the UK, providing co-location and connectivity services to enterprises, cloud providers and telecommunications companies, according to its IPO filing.
The company said it plans to use most of the IPO proceeds to repay debt, with the remainder allocated for general corporate purposes, including acquisitions, working capital and capital expenditures.
After the offering, Brookfield will control about 67% of Csquare’s voting power through entities it manages or controls.
Csquare intends to list on the New York Stock Exchange under the ticker symbol “CSQR”. Morgan Stanley, TD Securities, Wells Fargo Securities and BofA Securities are among the underwriters to the offering.
(Reporting by Prakhar Srivastava in Bengaluru; Editing by Shilpi Majumdar)
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