Published by Global Banking & Finance Review®
Posted on February 3, 2026
2 min readLast updated: February 3, 2026
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Nvidia-backed Nscale hires Goldman Sachs and JPMorgan for IPO, expanding AI data centers to meet demand. A $2 billion funding round is planned.
By Echo Wang and Milana Vinn
Feb 3 (Reuters) - Nvidia-backed British artificial intelligence group Nscale Global Holdings has hired Goldman Sachs and JPMorgan to prepare for an initial public offering, people familiar with the matter said.
The timeline for the potential listing has not yet been set, the sources said, asking not to be identified as the discussions are private.
Goldman Sachs, JPMorgan and Nscale declined to comment.
The move towards a public listing follows a period in which Nscale has expanded its data center capacity to meet soaring demand for AI computing from customers including Microsoft and OpenAI.
In September, Nscale raised $1.1 billion from investors including Norway's Aker and Finland's Nokia to help accelerate its data center construction.
Bloomberg reported last month that Nscale is working with the banks on a $2 billion new funding round, just three month after raising $1.1 billion from investors, which gave the company a valuation of around $3.1 billion.
The Financial Times reported in October that Nscale plans an IPO in the back half of 2026.
The company said in October it would deploy around 200,000 Nvidia chips for Microsoft across its data centers in Europe and the United States.
Nscale is also part of a $1 billion partnership with OpenAI and Aker to build a large-scale AI data centre in Norway, which was announced in July.
Founded in 2024, Nscale is known as a so-called "neocloud," a vertically integrated AI cloud platform that owns and operates its own data centers, GPUs, and software stack to deliver large-scale, GPU-powered AI compute, similar to peers such as CoreWeave. The model is growing in importance as demand for AI compute outpaces hyperscaler supply, increasing the role of specialized GPU-focused operators in the AI ecosystem.
CoreWeave went public in March 2025 at a fully diluted valuation of about $23 billion. Its market capitalization climbed significantly in the year that followed, reaching approximately $46 billion to $48 billion by early 2026.
(Reporting by Echo Wang and Milana Vinn in New York;Editing by Nick Zieminski)
An IPO, or Initial Public Offering, is the process through which a private company offers shares to the public for the first time, allowing it to raise capital from public investors.
Data center expansion refers to the process of increasing the capacity and capabilities of a data center to accommodate growing data storage and processing needs.
Venture capital is a form of private equity financing that is provided to early-stage, high-potential growth companies in exchange for equity, or an ownership stake.
AI computing refers to the use of advanced computing technologies and algorithms to perform tasks that typically require human intelligence, such as learning, reasoning, and problem-solving.
A funding round is a stage in the investment process where a company raises capital from investors, typically in exchange for equity or convertible debt.
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