Investing.com -- MAAS Group (ASX:MGH) shares rose on Wednesday after reports that Nvidia was considering further financial support for Australian artificial intelligence data-centre developer Firmus, reviving hopes that the company could secure funding after shelving its planned initial public offering.
Shares gained 4.84% to A$3.90, trading around levels last seen on October 13, while the broader S&P/ASX 200 was little changed.
Nvidia is in discussions to invest hundreds of millions of dollars in Firmus, The Information reported on Tuesday, citing people familiar with the talks.
The Australian newspaper separately reported that Firmus was seeking additional backing from Nvidia as it pursued a private capital raise following the collapse of its proposed listing.
The discussions come after Firmus withdrew its planned A$5 billion ($3.3 billion) IPO earlier this month amid investor concerns over its proposed valuation, financing requirements and limited operating track record.
The offering had targeted a valuation of about A$44 billion ($30.5 billion), nearly three times the level of its August funding round. Firmus has since said it would explore alternative private and public funding options.
Maas Group has a 3.2% stake in Firmus and has construction contracts linked to the data-centre developer, leaving it exposed to the company's ability to fund and deliver its expansion plans. The failed IPO had weighed on Maas shares as investors reassessed the value of its investment and the outlook for related construction work.
Nvidia's potential involvement would offer a possible funding route for Firmus as it pursues its AI infrastructure ambitions across Australia and the wider Asia-Pacific region. However, the talks remain unconfirmed as a completed investment, and the terms and size of any potential financing have not been finalised publicly.
The developments come as investors increasingly scrutinise the cost of building AI data centres, with higher financing requirements and uncertainty over returns prompting several infrastructure companies to reconsider major fundraising plans.
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