Updated: 2-Firmus investor Maas shares decline after an artificial intelligence data center operator cancels a highly anticipated IPO plan
路透社2026/10/09 07:41Maas shares once fell by 10.7%, hitting a five-month low. Firmus withdrew its listing application, citing market volatility as the reason. Maas holds a 3.2% stake in Firmus and supports its artificial intelligence factory project. The subsidiary holds 1.1 billions AUD in Firmus orders through fiscal year 2027. Following analysts’ comments, Kumar Tanishk and Rajasik Mukherjee of Reuters reported on October 9 that on Friday, shares of Maas Group subsidiary MGH.AX closed down more than 6%. This followed Firmus, which is backed by Nvidia, cancelling its 5 billions AUD IPO, sparking market concerns about the value of Maas's stake in the data center operator and potential contract risk. The cancellation not only stripped Maas of a potential valuation benchmark and liquidity channel for its 3.2% equity in Firmus on the public markets, but also turned investors' attention to JLE Group—the electrical infrastructure business unit of the Australian construction services provider. “The real risk is correlation. If Firmus faces financing hurdles, both MGH’s investment and JLE’s order book could come under pressure,” said Hersh Oberoi, Global Head of Research at Balfour Capital Group. After trading was halted pending an update on Firmus’s IPO and related contracts, Maas shares resumed trading and fell by as much as 10.7%, touching a five-month low. Oberoi commented that the share price repricing was generally reasonable, as investors lost anticipated valuation gains rather than facing immediate cash losses; he added that the value of the stake should be referenced to its last private funding round, with adjustments for lack of liquidity. Firmus withdrew its listing application on Friday, stating that market volatility and current market conditions did not fairly reflect its business strength and long-term growth prospects. JLE is fulfilling orders totaling about 1.1 billions AUD (768.13 million USD), delivering modular “Power Cubes” and related electrical engineering in fiscal years 2026 and 2027. Maas said it has already received 373 million AUD in payments and expects the works to be completed by the end of 2027. The IPO withdrawal triggered Maas’s repricing. On Thursday, after reports that Firmus was reconsidering its offer, Maas shares plunged 22.4%. Over the past week, the stock has dropped by 32%, erasing nearly 788 million AUD in market capitalization. https://www.reuters.com/graphics/MAAS-SHARES/akvelnoxgpr/chart.png Firmus previously planned to price shares at 11 AUD, implying a company equity valuation of about 30.6 billions AUD—almost triple its 10.5 billions AUD valuation in its August funding round. The withdrawn IPO would have been Australia’s second largest ever, highlighting investors’ caution around highly valued, aggressive expansion, and capital-intensive AI infrastructure companies. (1 USD = 1.4320 AUD) (For convenience of non-English speakers, Reuters provides automated translations of its reports into several other languages. As automated translation may contain errors or lack necessary context, Reuters does not guarantee the accuracy of translated texts and provides them solely for readers’ convenience. Reuters is not liable for any loss or damage resulting from the use of automated translation.)
Restructured based on analysts' comments
Kumar Tanishk/Rajasik Mukherjee
Reuters, October 9 - On Friday, shares of Maas Group MGH.AX closed down more than 6%, after Firmus—backed by NVIDIA NVDA.O—cancelled its AUD 5 billion IPO plan, fueling concerns over the value and contract risk of Maas’s stake in the data center operator.
The cancellation of the listing not only stripped Maas’s 3.2% Firmus stake of a potential public market valuation benchmark and liquidity avenue, but also turned investors' attention to JLE Group—the electrical infrastructure division of this Australian construction services provider.
“The real risk is correlation. If Firmus’s financing is hindered, both MGH’s investment and JLE’s order volume could be pressured,” said Hersh Oberoi, Global Head of Research at Balfour Capital Group.
After trading was suspended while awaiting updates on Firmus’s IPO and related contracts, shares resumed trading and once fell by 10.7%, touching a five-month low.
Oberoi said this share price revaluation was overall reasonable, since investors lost out on a potential valuation uplift rather than facing an immediate cash loss; he added that the value of the stake should be referenced to its last private fundraising round, adjusted for lack of liquidity.
On Friday, Firmus withdrew (link) its listing application, saying that market volatility and current market conditions could not fairly reflect its business strength and long-term growth prospects.
JLE is executing orders worth about AUD 1.1 billion (USD 768.13 million), delivering modular “Power Cubes” and related electrical engineering over fiscal years 2026 and 2027.
Maas said it has already received AUD 373 million in payments, and expects the project to be completed by the end of 2027.
The IPO withdrawal triggered a revaluation of MAAS shares
Maas shares (link) plunged 22.4% after reports on Thursday that Firmus was reconsidering the offer. The stock has fallen a cumulative 32% over the past week, with market value evaporating by nearly AUD 788 million.
https://www.reuters.com/graphics/MAAS-SHARES/akvelnoxgpr/chart.png
Previously, Firmus had planned (link) to set the share price at AUD 11 each, which would value the company’s equity at about AUD 30.6 billion—almost triple the AUD 10.5 billion valuation in its August fundraising round.
The withdrawn IPO would have become Australia's second-largest ever IPO, underscoring investor caution toward highly valued, aggressively expanding, and cash-hungry AI infrastructure companies.
(1 USD = 1.4320 AUD)
(To assist non-native English speakers, Reuters has automated the translation of its reports into several other languages. Automated translation may contain errors or lack required context, and Reuters does not guarantee the accuracy of this automated text. The automation is provided solely for readers’ convenience, and Reuters bears no responsibility for any damages or losses arising from use of the translation feature.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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