The race to build enough computing power for artificial intelligence keeps running into the same bottleneck: electricity. SB Energy, a power generation infrastructure company, is now stepping into public markets to help solve that exact problem, filing plans to raise roughly $5 billion in its initial public offering — a deal steered by law firms Latham & Watkins LLP and Davis Polk & Wardwell LLP.

Where and How SB Energy Plans to List

Redwood City, California-based SB Energy told regulators it intends to list its shares on the Nasdaq under the ticker symbol SBE, according to a Monday filing with the U.S. Securities and Exchange Commission. The company has not yet disclosed how many shares it plans to offer or at what price range — details that typically emerge closer to the actual offering date.

A Company Built for the AI Era

Founded in 2019, SB Energy positions itself as a power generation infrastructure company focused specifically on artificial intelligence and data centers, according to the filing. Its business spans developing, constructing and eventually operating gigawatt-scale data center facilities, alongside developing, building, owning and operating the power generation assets needed to keep those facilities running.

The Company's Own Pitch to Investors

"Our vertically integrated, power-first, community-focused model is purpose-built for the AI era," SB Energy told regulators. "We believe this will enable the delivery of data center capacity with the scale, speed and reliability required to support our customers' rapidly growing demand for compute."

A Look at the Company's Active Projects

SB Energy currently has two projects under active construction: the Cosmos Technology Campus in Travis County, Texas, and the Milam County Data Center, also in Texas. A third campus, the PORTS-Pike Technology Campus in Pike County, Ohio, remains in the pre-construction phase, according to the filing.

Heavyweight Backers Behind the Company

SB Energy counts SoftBank, OpenAI and Nvidia among its backers, the filing noted. OpenAI announced in mid-August that it will sign a 20-year lease at the Ohio campus, a facility that could eventually feature 9 gigawatts of computing power alongside 10 gigawatts of power generation capacity — figures large enough to rank among the more ambitious data center projects currently in development nationwide. Nvidia, meanwhile, has previously disclosed a $1.5 billion investment in SB Energy, along with plans to provide credit support for buildout stages tied to an initial 4.25 gigawatts of computing capacity.

Where the IPO Proceeds Will Go

SB Energy plans to direct "substantially all" of the net proceeds from its public offering toward general corporate purposes, with priority given to working capital, operating expenses and the capital expenditures required to develop and construct its data center, power generation, storage and related infrastructure projects — essentially funneling fresh capital directly back into the buildout fueling its own growth story.

The Legal Teams Behind the Offering

The Latham & Watkins team advising SB Energy included Ryan Maierson and John Slate. The Davis Polk team representing the underwriters included Michael Kaplan and Marcel Fausten.