UK-based AI infrastructure company Nscale has raised $3.36bn through a pre-initial public offering (IPO) convertible loan note round led by investment firm Third Point.
The financing drew participation from various new and existing investors, including Nvidia, as well as funds managed by Apollo, Hudson Bay Capital, Citadel, 8090 Industries and Abu Dhabi Investment Council.
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Other investors that participated in the financing include Davidson Kempner Capital Management, Context Capital Management, Qube Research & Technologies (QRT), Longaeva Partners, and Wellington Management. The round also involved Castleknight, LionTree Investment Fund, Ghisallo Capital Management, Irving Investors and Javelin Venture Partners.
Nscale, which operates a full-stack AI cloud platform, reported that this funding will help accelerate its expansion plans for its vertically integrated AI cloud infrastructure.
The company serves hyperscalers, AI research labs, specialised AI companies, and enterprise customers that are building or scaling AI solutions. It stated that it has more than $103bn in total contracted value.
The convertible loan notes offer an initial $2.36bn at closing, in addition to a $1bn commitment from Nvidia.
Funding from the Nvidia commitment is expected in mid-November 2026.
According to the company, the notes will convert automatically into ordinary shares or, in the case of Nvidia, non-voting shares upon completion of Nscale’s IPO.
Nscale founder and CEO Josh Payne said: “This marks a milestone for Nscale as we continue scaling our full-stack AI infrastructure to meet unprecedented global demand. With the backing of these world-class investors, we are strongly positioned to accelerate our data centre buildouts globally.”
Goldman Sachs & Co. acted as placement agent for Nscale in the capital raise.
Nscale is focused on providing an AI cloud platform that integrates software, computing resources, and power infrastructure.
Its offering includes behind-the-meter power plants, liquid cooled AI data centres, and large-scale GPU clusters.
According to the company, this integrated approach is designed to support growing demand for AI cloud services.
Last month, Anthropic agreed to rent around $45bn in AI cloud computing capacity from Nscale under a six-year contract.
The arrangement will enable Anthropic to use power from Nscale’s data centre campus in West Virginia as it prepares for a planned public listing.
The computing capacity is intended to support Anthropic’s growing range of products, including its AI coding application, Claude Code.
The agreement is understood to reserve approximately 460MW of power capacity for Anthropic across the duration of the contract.
