Data center company Switch taps top banks for potential $10 billion IPO

Las Vegas data center operator Switch has engaged top banks Goldman Sachs and JPMorgan Chase to help in the company’s preparations for an IPO listing that could value the company at approximately $80 billion.

Switch raised $531 million in a debut public listing in October 2017, valuing the company at about $4.2 billion. The data center firm then went private to restructure and invest without the pressure of quarterly earnings. A comeback to the public sector with an IPO valued at $80 billion would amount to about 20 times its original public value.

Reports state that the firm is looking to launch the IPO during the fourth quarter closer to 2027.

Valuation based on data center business

Switch is in charge of high-density data centers for more than 550 customers. The data center firm has steered its business toward more AI and cloud workloads and solutions. The conversation concerning the company’s valuation is based on this current state and the firm’s future potential.

For comparison purposes, Equinix has a market cap of about $80 billion to $90 billion, being one of the largest publicly listed data center Real estate investment trusts (REITs). These are companies that own and operate the physical buildings for data centers.

An $80 billion Switch would arrive at the top of the sector on day one of public trading. Switch was taken private in 2022 by DigitalBridge and IFT Investors for $11 billion.

The company’s data centers are also powered by renewable energy, a feature available since 2016, which may prove valuable to tech companies with stakes in decarbonization.

Switch fixing finances prior to IPO

Switch is also in talks to acquire about $2 billion in private funding. This could value the company at about $50 billion including debt. These talks have been ongoing since June, and have involved Andreessen Horowitz, Brookfield and KKR.

Since 2024, Switch has raised around $20 billion through credit facilities and asset-backed securities. This includes a $768 million green bond issued in April 2026.

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