Australian neocloud Firmus has raised AU$500m (US$327m) in equity for its data center rollout.

The company is aiming to expand its data center capacity to 1.6GW through 2028 under an initiative known as Project Southgate, for which the new funding will go towards.

According to the company, the equity will be used for the "development, infrastructure deployment, and energy partnerships" across locations, including Tasmania, Melbourne, Canberra, Sydney, and Perth.

Morgans acted as the sole lead manager for the equity raise, and Highbury Partnership acted as the financial advisor. The equity raise valued Firmus at AU$6bn (US$3.9bn).

Firmus' co-CEO Oliver Curtis said: "This raise allows us to deliver on the next phase of Project Southgate - expanding beyond Tasmania into four major mainland regions. We’re manufacturing a new class of AI infrastructure, on Australian soil, that is purpose-built for scale, performance, and sustainability. This means high-value local jobs and a critical piece of sovereign capability for Australia.”

Co-CEO Tim Rosenfeld added: “We’ve spent years developing a vertically integrated AI Factory platform that can scale more efficiently than traditional approaches. With demand for AI infrastructure accelerating, this funding ensures we can meet it quickly, cost-effectively, and in line with Australia’s renewable energy future.”

Project Southgate is being conducted in partnership with local operator CDC Data Centres, with the two announcing their agreement in October 2025. Southgate’s first stages are under construction in Tasmania and Melbourne, with up to 150MW, representing 54,000 GB300s, delivered by mid-2026.

Founded in 2019, Firmus was initially focused on crypto and high-performance compute, specializing in immersion cooling, but today describes itself as a pure AI factory builder. The firm is backed by Nvidia and Ellerston Capital, as well as Regal Funds Management, Archibald Capital, and Tectonic Investment Management. In June, Firmus raised AU$280 million (US$180m) in preparation for going public on the Australian Stock Exchange.