CoreWeave, which provides cloud computing services for artificial intelligence (AI) workloads, is considering selling a minority stake, reported Bloomberg, citing sources.
The US-based company, backed by technology giant NVIDIA, has called in an adviser to sell a 10% stake, the sources said.
The sale could value Roseland, New Jersey-based CoreWeave between $5bn and $8bn, they said, adding that terms of the transaction are yet to be finalised and could still change.
According to a source with knowledge of the situation, CoreWeave is anticipated to generate revenue of around $1.5bn in 2024.
A representative for CoreWeave declined to comment on the development.
CoreWeave, founded in 2017, provides users with access to specialist cloud services for running AI models.
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It uses graphics processing units (GPUs) offered by NVIDIA.
This year, the technology vendor has already raised $421m in equity funding from investors such as Magnetar Capital and NVIDIA.
Earlier this month, CoreWeave raised $2.3bn via a debt financing facility to expand its team, strengthen high-performance computing capabilities and build new data centres.
The debt round saw participation from Magnetar Capital, Coatue, and DigitalBridge Credit as well as funds and accounts managed by BlackRock, PIMCO, Blackstone Tactical Opportunities and Carlyle.
Last month, CoreWeave opened a new Texas-based data centre facility worth $1.6bn to expand access to high-performance GPUs.
In June, it was reported that software major Microsoft signed a multi-billion-dollar deal with CoreWeave to access AI computing capacity.