Australia's NEXTDC to raise $1.07 billion to accelerate Sydney data centre rollout

The entitlement offer gives existing shareholders the chance to acquire new shares at A$12.70 each, at a ratio of roughly one new share for every 5.4 shares ⁠they already own.

Canada's La Caisse has committed an additional A$700 million, following its initial A$1 billion pledge earlier this month.

"This is a unique opportunity to materially expand NEXTDC's contracted capacity and de-risk the company's Western Sydney developments ahead of potential strategic partnership transactions with private capital partners from 2027," said CEO and Managing Director Craig Scroggie, referring to the capital raise.

The data center operator said pro forma contracted utilisation, the total power capacity formally signed ‌up ⁠by customers, jumped by roughly 60% to 667 megawatts (MW) as of March 31, compared with end-December 2025.

NEXTDC raised its fiscal 2026 capital expenditure by A$300 million to the range of A$2,700 million to A$3,000 million, reflecting investment in faster inventory ⁠build-out and equipment procurement for its S4 facility.

The S4 facility, located in Horsley Park, will have a capacity of 350 megawatts, according to the company website.

NEXTDC said ⁠it continues to evaluate capital partnership structures for its Western Sydney developments with third-party investors as projects progress.

Citi analysts said the equity raise and ⁠the upsized hybrid issuance were positive, signalling strong demand environment and highlighting NEXTDC's ability to win large hyperscale contracts.

($1 = 1.4021 Australian dollars)