Artificial intelligence chipmaker Cerebras Systems plans to boost both the price and size of its upcoming stock market debut as investor appetite for the company’s shares continues to intensify, according to two sources with knowledge of the situation who spoke to Reuters on Sunday.
The California-based company is now eyeing a share price between $150 and $160, a significant jump from its previous target of $115 to $125 per share. Additionally, Cerebras intends to offer 30 million shares instead of the originally planned 28 million, the sources revealed on condition of anonymity since the details haven’t been made public.
Should the company price at the upper end of this revised range, Cerebras could generate approximately $4.8 billion in funding, compared to the $3.5 billion it would have raised under the initial terms. However, these figures could still shift before the final pricing occurs.
This adjustment reflects the broader explosion in artificial intelligence technology adoption, which has created intense demand for high-performance semiconductor products and established chips as a critical constraint in the tech supply chain. The sources indicated that investor orders for Cerebras stock have exceeded the available shares by more than 20 times as the company prepares for its May 13 pricing date.
Cerebras has not yet provided a response to requests for comment.
Bloomberg News had previously reported the company’s intention to adjust its IPO pricing to a range of $125 to $135 per share.
Based in Sunnyvale, California, Cerebras develops specialized processors designed to run sophisticated AI systems, competing in a market where Nvidia currently holds the dominant position. The company is experiencing increased demand for its chips as artificial intelligence laboratories transition from developing models to actually implementing them. Cerebras’ processors excel at inference operations—the calculations that enable AI systems to answer user questions—compared to the GPU chips traditionally used for model development.
This upcoming public offering represents Cerebras’ second effort to enter the stock market. The company initially filed to go public in 2024 but withdrew those plans last year. A business relationship with G42, an AI firm based in the United Arab Emirates that accounted for over 80% of Cerebras’ revenue during the first half of 2024, had triggered a national security examination by the Committee on Foreign Investment in the United States. The committee ultimately approved the partnership.
Following that clearance, Cerebras has successfully added Amazon and OpenAI—two of the world’s largest AI infrastructure companies—to its customer base.
According to Dealogic data, this public offering would represent the largest IPO worldwide for 2024.
Morgan Stanley, Citigroup, Barclays, and UBS Group AG are managing the stock offering. Cerebras has announced plans to list its shares on the Nasdaq Global Select Market using the ticker symbol CBRS.
