NextDC Shares Halted for $1.5 Billion Capital Raising

NextDC Ltd (ASX: NXT) shares entered a trading halt before market open on Monday, pending an announcement regarding a capital raising.

The company has launched a fully underwritten entitlement offer to raise approximately $1.5 billion. The new shares will be issued at $12.70 each, a discount to the last traded price of $14.12.

The offer is structured as a 1 for 5.4 pro rata accelerated non-renounceable entitlement offer.

The institutional component of the offer is already underway. The trading halt is expected to remain in place until Wednesday.

Operational Performance Update

Alongside the capital raising announcement, NextDC provided a positive operational update.

Contracted utilization increased significantly to approximately 667MW as of March 31, up from 367MW at the end of December. The company's forward order book also grew, reaching 544MW.

Management attributed the strong growth to continued demand from hyperscale and AI-related customers.

Revised Financial Guidance

The company has revised its capital expenditure plans upward in response to accelerating demand.

NextDC increased its FY26 capital expenditure guidance to a new range of $2.7 billion to $3 billion, up from the previous range of $2.4 billion to $2.7 billion. The company stated this reflects faster development across key projects, including the S4 Sydney site.

Strengthened Financial Position

Following the capital raising and recent funding activity, NextDC expects a robust financial footing.

The company expects pro forma liquidity of approximately $5.9 billion.

This figure includes cash, undrawn debt facilities, and the proceeds from both the entitlement offer and hybrid securities. NextDC also noted that additional funding options remain available, including wholesale debt and potential joint venture structures.