The pricing of the 30m class A common stock shares is significantly higher than was expected.
Cerebras Systems, the AI chipmaker aiming to rival Nvidia, is set to raise more than $5.5bn after pricing its US initial public offering (IPO) at $185 per share.
The pricing of the 30m class A common stock shares – set to begin trading today (14 May) as ‘CBRS’ on the Nasdaq Global Select Market – is significantly higher than was expected.
In early May, a $3.5bn raise through the sale of 28m shares at between $115 and $125 each was mooted. Last week, that estimate had grown to proceeds of up to $4.8bn at a range of $150-160 per share.
Reported media valuations for the company after the IPO sit at around $50bn.
Morgan Stanley, Citigroup, Barclays and UBS Investment Bank are acting as lead book-running managers for the offering, according to Cerebras. Mizuho and TD Cowen are acting as bookrunners.
Needham & Company, Craig-Hallum, Wedbush Securities, Rosenblatt, Academy Securities, Credit Agricole CIB, MUFG and First Citizens Capital Securities are acting as co-managers.
In February, the company was valued at around $23bn after a $1bn Series H raise.
Cerebras claims that it builds the “fastest AI infrastructure in the world” and CEO Andrew Feldman has also gone on record to say that his hardware runs AI models multiple times faster than that of Nvidia’s.
Cerebras is behind WSE-3, touted by the company to be the “largest” AI chip ever built with its 19-times more transistors and 28-times more compute than the Nvidia B200.
Cerebras initially filed for IPO in September 2024, but drew criticism for a perceived heavy reliance on a single United Arab Emirates-based customer, the Microsoft-backed G42. The following October, it withdrew from a planned IPO without providing an official reason.
According to Bloomberg, the Cerebras IPO is the largest of 2026 so far, and drew orders for more than 20 times the number of shares available. Cerebras said it had granted the IPO underwriters a 30-day option to purchase up to an additional 4,500,000 shares.
Last month, Elon Musk’s SpaceX was reported to have confidentially filed for a US IPO, with estimates of how much this could raise put at between $50bn and $75bn, while the company’s valuation could be up to $1.75trn.
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