Nscale seeks $3.5 billion in pre-IPO funding ahead of potential listing

British AI infrastructure firm Nscale is reportedly in advanced discussions to raise an additional $3.5 billion in financing ahead of a potential initial public offering as early as later this month. The company, which was founded only two years ago, is seeking to secure substantial capital to support its rapid expansion in the AI compute sector.

According to reports from Bloomberg, the financing package includes the sale of $1.5 billion in convertible notes to a group of investors. These instruments are designed to convert into company stock at a later date. In parallel, Nscale is seeking an additional $2 billion in financing directly from Nvidia. The American technology giant has previously participated in Nscale’s funding rounds, including a $1.1 billion Series B raise in March that was led by investment fund Aker.

Nscale described that March round as the largest Series B in European history. The company’s earlier Series A round in December 2024 raised $155 million. The firm has recently signed a significant deal with Anthropic worth approximately $45 billion. Reports indicate that Nscale has told potential investors it has approximately $103 billion in revenue following this agreement. This figure represents a projection based on signed customer leases rather than current sales, according to The Information.