2 publishers · first seen Thu, 29 Oct 2026 01:00 UTC · updated Thu, 29 Oct 2026 05:47 UTC
The Australian Securities and Investments Commission (ASIC) is examining whether four global banks — Morgans, Bank of America, JPMorgan and Morgan Stanley — misrepresented investor demand for the failed $5 billion initial public offering (IPO) of AI data centre operator Firmus. ASIC chair Sarah Court said the regulator is reviewing communications from the joint lead managers, including claims of strong investor interest, and assessing whether they met standards for representing demand, managing conflicts and keeping records. The IPO, which aimed to value Firmus at $30.6 billion, collapsed on October 9 after failing to secure sufficient support.
Court confirmed ASIC has not launched a formal investigation but is conducting targeted inquiries, including into a term sheet and client email suggesting demand exceeded the offer size. Senator David Sharma raised concerns that early investors, including brokers and their clients, may have profited by selling into the float. The deal's failure marked a setback for AI-related listings, which have faced growing scrutiny over valuations and returns.
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