SB Energy Eyes $7B IPO Amid OpenAI Partnership

SB Energy, a data center firm majority-owned by SoftBank, is preparing for an Initial Public Offering (IPO) that could raise between $5 billion and $7 billion, with filings expected soon. As a tenant incentive, SB Energy issued warrants for OpenAI stock, estimated to be worth $5.5 billion as of June. OpenAI has invested $500 million in SB Energy and has executed lease agreements for approximately 8 gigawatts of computing capacity at the company's planned southern Ohio development.

SB Energy's draft IPO documents reveal significant financial ties to both SoftBank and OpenAI, with SoftBank also being a major investor in OpenAI. The company faces risks due to its heavy reliance on OpenAI. Furthermore, SB Energy's ability to fund its Ohio campus hinges on a residual value guarantee from Nvidia, which also holds an equity stake. The company's financial performance shows a widening net loss of $3.2 billion in the first half of 2026.