Csquare, a data center firm majority-owned by Brookfield Corp., is moving toward a public listing. The company is targeting up to $1.35 billion in its initial public offering, according to a filing. The move underscores surging capital demand for infrastructure that powers artificial intelligence and cloud computing.
The hyperscaler operates facilities with a total of 389 megawatts of power capacity. This positions Csquare to serve the largest tenants in the rapidly expanding AI and cloud markets. The offering could provide Brookfield with a lucrative exit path for part of its stake while fueling further expansion.
No details were disclosed on the expected valuation or the number of shares to be offered. The IPO comes amid a frothy market for data-center investments, with institutional capital racing to back new builds. Yet rising interest rates have made financing more expensive, pressuring returns for newer projects.
For Brookfield, the listing represents a chance to monetize a portion of its data-center bet while retaining operational control. Csquare has not yet set a final pricing range, and market volatility could still delay the timeline. Investor appetite for pure-play data center stocks remains strong but increasingly selective.
Economists caution that rapid supply growth could eventually outpace demand, compressing lease rates. Meanwhile, regulatory scrutiny over data-center energy consumption is intensifying in key markets, adding uncertainty to long-term projections.