5C Group plans IPO as it expands AI data center pipeline across North America and Europe
The Montreal-based data center company, spun off from Hypertec Group in 2025, is eyeing public markets to fund a 2 GW buildout targeting AI workloads.
Simon Ahdoot, CEO of Hypertec Group, has signaled that 5C Group, its data center spinoff, is considering going public as the company scales an aggressive pipeline of AI-focused infrastructure projects across North America and, eventually, Europe.
The potential IPO would give 5C Group access to public capital markets at a moment when investor appetite for anything adjacent to artificial intelligence infrastructure remains voracious. The company has already secured over $1.4B in total funding, including an $835M round backed by Brookfield and Deutsche Bank in July 2025.
From spinoff to multi-gigawatt ambitions
5C Group has a relatively short but dense origin story. Hypertec Group, a Montreal-based company with roots in high-performance computing stretching back to 1984, created the entity in April 2025. The formation involved spinning off Hypertec Cloud and folding in 5C Data Centers, creating a standalone company purpose-built around large-scale facilities optimized for AI workloads.
5C Data Centers was originally founded in 2023. Within roughly two years, it merged into a new corporate structure, raised north of a billion dollars, and started talking about an IPO.
The company’s development roadmap targets 2 GW of capacity across North America, with a European rollout planned by 2029. The current project pipeline includes a 200 MW campus in Columbus, Ohio, along with additional sites in Phoenix and Memphis.
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The IPO calculus
Going public would serve multiple purposes for 5C Group. Most obviously, it would provide capital to fund the remaining buildout beyond what private financing covers. A 2 GW pipeline across multiple geographies is a multi-billion-dollar endeavor, and even with institutional backing from the likes of Brookfield, an IPO could diversify the funding base.
The European expansion timeline, targeting 2029, adds another dimension. European data center markets face unique challenges, including tighter energy regulations, longer permitting timelines, and growing community opposition in some markets.
For Hypertec Group, an IPO of 5C Group would also crystallize the value of a subsidiary that was, until recently, an internal business unit.