Australian AI infrastructure company Firmus finalised a $10 billion debt funding package Monday led by Blackstone and New York-based technology investor Coatue Management.
The company said the funding will build the next phase of Project Southgate, its initiative to develop AI training and inference infrastructure across Australia. Done in collaboration with CDC Data Centres and Nvidia, the project is expected to reach a capacity of up to 1.6 gigawatts over the next three years.
“The picks and shovels powering the AI revolution are one of our highest conviction investment themes, and we are excited to finance Firmus’ continued growth,” said John Watson, senior managing director of Blackstone’s Tactical Opportunities Group. “AI is driving one of the most significant infrastructure build-outs in decades, and we believe Australia can play a central role in that transformation.”
The transaction ranks as one of the largest private debt financings in Australian history.
Damilare Odedina
Why this funding matters
The facilities will use Nvidia’s DSX reference architecture, designed specifically for AI workloads. Firmus describes them as “AI factories”—data centres built to handle the compute-intensive work of training and running large AI models.
“This milestone reflects the trajectory of Australia as a global player in powering AI,” said Oliver Curtis, Firmus co-CEO. “With Blackstone and Coatue’s financing, we’re helping meet the rising global demand for AI compute. On the ground, we’re focused on rapidly scaling our energy-efficient AI Factories to meet demand and create lasting value for both our customers and the broader local economy.”
Firmus said the financing will accelerate AI factory deployment, infrastructure manufacturing, and energy integration to serve hyperscale and AI-native customers worldwide.
The funding timeline
Firmus has moved quickly over the past year. The company raised A$830 million in 2025 through equity placements backed by Nvidia and Australian investor Ellerston Capital. In September, it closed a A$330 million placement. Two months later, it raised another A$500 million at a A$6 billion valuation—triple what it was worth in September.
Curtis told the Australian Financial Review Monday that Firmus expects to list on the Australian stock exchange this year.
For Blackstone, the Firmus deal follows its September 2024 acquisition of Australian data centre operator AirTrunk for A$24 billion ($16.1 billion), which ranked as the largest data centre deal globally that year.
Damilare Odedina
