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Data centre operator NEXTDC (ASX: NXT) has completed the institutional component of a $1.5 billion entitlement offer, raising $1 billion after securing near-universal take-up from existing shareholders.
The institutional entitlement offer, conducted on a one-for-5.4 pro-rata basis, attracted 98 per cent participation.
The offer price of $12.70 per share represented an 8.6 per cent discount to the theoretical ex-rights price of $13.90 and a 10.1 per cent discount to NEXTDC's last closing price of $14.12 on 17 April 2026.
The raise forms part of a broader $2.2 billion capital plan triggered by a record 250MW increase in contracted utilisation at NEXTDC's Western Sydney S4 data centre - the single largest contracting event in the company's history.
That contract has lifted NEXTDC's pro forma contracted utilisation to 667MW, a 60 per cent jump since the end of December last year, and pushed its pro forma forward order book to 544MW, up 83 per cent over the same period.
NEXTDC says contracted EBITDA associated with its portfolio is now expected to exceed $1 billion, more than four times its FY26 EBITDA guidance midpoint of $235 million.
"This is an exciting new phase of growth for NEXTDC," says CEO Craig Scroggie.
"I am pleased to see such strong support from our shareholders in this entitlement offer.
"This equity raising, coupled with the hybrid securities offer and other funding initiatives announced by the company, provides NEXTDC with a strong liquidity position to fund our record 544MW4 pro forma forward order book as at 31 March 2026.”
Scroggie frames the equity raise as a move to capture what he describes as a "unique opportunity" in AI-driven infrastructure demand while de-risking the company's Western Sydney developments ahead of potential joint venture transactions with private capital partners from 2027.
The capital plan extends beyond the entitlement offer.
NEXTDC has also secured $1.7 billion in hybrid securities commitments from La Caisse de dépôt et placement du Québec, a global Canada-based investment group, with the commitment split between a $1 billion initial series and a $700 million delayed draw series.
An additional $1.5 billion in senior debt facilities is being advanced with the company's banking syndicate, lifting pro forma liquidity to $5.9 billion.
NEXTDC says the funding will support an accelerated build-out across its national platform.
FY26 capital expenditure guidance has been raised by $300 million to a range of $2.7 billion to $3 billion, with FY27 capex forecast at $5 billion.
The retail component of the entitlement offer, expected to raise roughly $500 million, remains open.
The capital raising comes five months after 72 per cent of NEXTDC shareholders voted against the company's remuneration report at its November 2025 annual general meeting, delivering a "first strike" over a $150 million long-term growth incentive plan for Scroggie and senior executives. Shares fell 5 per cent on the day of that vote.
New shares issued under the institutional entitlement offer are expected to begin trading on 24 April 2026.
Shares in NEXTDC were trading 33c higher at $14.45 at 1.57pm (AEST).
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