DayOne Weighs IPO Delay or Size Cut: Data Centre Reality Check

Quick Answer: DayOne Data Centers, headquartered in Singapore, is weighing a potential delay or a smaller US IPO that may raise US$2.5 billion (RM10.14 billion) to US$3 billion. The move comes as public demand for data centres cools, with AirTrunk’s S-REIT IPO also postponed. For shareholders, the key number is DayOne’s US$82 million net loss in 1HFY2026, which makes funding timing critical.

DayOne Data Centers is weighing a delay or a smaller US IPO that may raise US$2.5 billion (RM10.14 billion) to US$3 billion, according to Bloomberg. The move shows how the data centre IPO market has cooled.

Finance chart showing data centre IPO market volatility — Public capital’s appetite for data centres has cooled considerably.

Why Is DayOne Weighing a Delay to Its Data Centre IPO?

DayOne has waited for the right window to launch, and it has considered pushing the share sale back until the market recovers, Bloomberg claims. Volatility around data centres is increasing.

The company is still loss-making. It recorded a US$369 million net loss for ordinary shareholders in FY2025 and a US$82 million net loss in 1HFY2026.

DayOne Weighs IPO Delay or Size Cut: Data Centre Reality Check — Photo: TheEdge

Which Data Centre Listings Have Already Stalled?

AirTrunk: Bloomberg reported on Oct 13 that its S-REIT IPO on the Singapore Exchange had been ‘postponed’. The Australian Financial Review said on Oct 3 that its scheduled A$4.4 billion (RM12.5 billion) IPO could be postponed.
Firmus Grid: The Australian AI and data centre company postponed its IPO on the Australian Securities Exchange on Oct 8.
CoreWeave: Its bonds sank in the week of Oct 12 to 16, and the cost of insuring its debt against default hit a record.
Oracle: Its debt was rated one notch above junk.

AirTrunk was sold to Blackstone and the Canada Pension Plan in December 2024. Its IPO excitement faded because of what the source calls seemingly expensive pricing.

How Much Debt Is Behind DayOne’s Expansion?

Aug 18: DBS Bank, OCBC and UOB provided a four-year S$530 million (RM1.68 billion) green loan for DayOne’s first Singapore data centre.
Dec 2025: A €500 million mezzanine facility from Brookfield and a global sovereign investor, expandable up to €1 billion, for Finland.
Oct 13: A syndicated loan from more banks for its Johor data centres.

The Singapore site will be ready next year. DayOne signed a power purchase agreement with Sembcorp Power, so all operations will be fully covered by renewable energy.

Why Does Johor Matter for DayOne’s Data Centre Pipeline?

DayOne has built campuses at Nusajaya Tech Park and Kempas Tech Park in Johor. It claims about 1.4gw of bookings from five ‘global’ hyperscalers.

DayOne executive vice-president Ong Kok Chye said markets like Malaysia and Thailand are now on everyone’s mind. He also cited hyperscalers spending almost US$800 billion this year alone.

For background on how public offerings work, read IPO Investing with M+ Global. The source names no Bursa-listed data centre stock, so Bursa investors tracking this theme will need to check listings directly.

What Is Fuelling Community Pushback on Data Centres?

On Oct 13, the BBC reported that 300 residents in Batam were furious that their taps had run dry. The data centres in Nongsa Digital Park appeared to have enough water to protect their machines from overheating.

Project Jupiter, a US$165 billion campus in New Mexico, faced pushback over water use, carbon dioxide emissions and a lack of direct state revenue. On Oct 14, Oracle proposed an Energy Service Agreement with El Paso Electric to pay US$100 million over 10 years.

BDx CEO Mayank Srivastava said costs were passed out of the community. ‘Nobody was really thinking about aligning costs and incentives,’ he said.

How Does Macro Pressure Affect Data Centre Financing?

The US Federal Reserve raised rates by 25 basis points to 3.75%-4%.
The 30-year US Treasury yield reached 5.67%, a 25-year high on Oct 7.
Oil prices are above US$100, feeding inflation.

MUFG’s Jean Monson said one August estimate put the AI factory financing need at US$7 trillion. A later report cited US$23 trillion.

Key Takeaways

DayOne may delay or downsize its US IPO, raising US$2.5 billion (RM10.14 billion) to US$3 billion.
AirTrunk’s S-REIT IPO was postponed, and Firmus Grid postponed its ASX IPO on Oct 8.
DayOne’s US$82 million net loss in 1HFY2026 sits alongside a growing debt pile.
Community pushback in Batam and New Mexico is raising the cost of building data centres.

This article is for information only and is not investment advice. Do your own research before making any investment decision.

Frequently Asked Questions

Is DayOne Data Centers planning a US IPO?

DayOne is weighing options for its US IPO, including a potential delay or size cut, according to Bloomberg. A smaller listing may raise US$2.5 billion (RM10.14 billion) to US$3 billion.

How much did DayOne lose in FY2025?

DayOne posted a US$369 million net loss for ordinary shareholders in FY2025. It recorded a further US$82 million net loss in 1HFY2026.

Why was AirTrunk’s S-REIT IPO postponed?

Bloomberg reported on Oct 13 that the Singapore Exchange listing had been postponed. The Australian Financial Review said on Oct 3 that stock market volatility, the tech and AI sell-off and surging borrowing costs were factors.

Does DayOne have data centres in Johor?

Yes, DayOne has built campuses at Nusajaya Tech Park and Kempas Tech Park. It claims about 1.4gw of bookings from five global hyperscalers.

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