Sydney, June 9, 2026, 03:03 AEST
- Megaport shares closed at A$18.48 on Friday, gaining 11.26%. The ASX was closed Monday for the King’s Birthday holiday.
- The company wrapped up the institutional piece of its A$827.3 million entitlement offer. The retail portion opens Thursday.
- Investors are now looking at a bigger AI infrastructure company with heavier capital needs.
Megaport Ltd is set to open on Tuesday at the ASX after closing out last week with an 11.26% gain to A$18.48. Shares jumped on Friday, ahead of the King’s Birthday break. That move came as the S&P/ASX 200 dropped 0.70% to 8,625.10. Megaport’s rise caught attention in a weak market.
The stock didn’t trade on Monday. The ASX marks June 8 as a King’s Birthday holiday in its 2026 calendar, closing the cash market with no settlement. ASX cash markets usually trade from just before 10 a.m. to 4 p.m. in Sydney.
Megaport has shifted from chasing cloud growth to focusing on AI infrastructure, and investors get another look this week. Its retail entitlement offer opens June 11 and will run through June 29, giving existing shareholders a chance to buy more shares on a pro-rata basis.
Megaport said Friday it’s wrapped up the institutional part of its fully underwritten A$827.3 million offer, pulling in about A$518 million. The deal saw around 36.2 million new shares priced at A$14.30 each. Eligible institutional holders took up about 99% of their rights. The new institutional shares should begin trading June 15.
Raise is moving ahead with four AI infrastructure contracts that carry a combined value of about A$458.9 million. AI inference refers to using a trained AI model to get results, not building one from the ground up. Megaport said these deals would need about A$369.5 million in capital spend, mostly earmarked for Nvidia GPUs, and also network and storage gear.
Megaport said the contracts are with U.S. tech firms running AI applications and should start in the first half of fiscal 2027. The company is also putting A$350 million into a GPU pool for on-demand compute, selling AI power via both contracts and usage-based deals.
Chief Executive Michael Reid said AI inference is “one of the biggest infrastructure opportunities” right now and argued it’s “not simply a GPU problem,” naming compute, storage and connectivity as all essential. Chief Financial Officer Leticia Dorman said Megaport expects debt will become “a more permanent part” of the company’s capital structure as it grows.
Vantage Markets analyst Hebe Chen told Reuters Megaport is setting itself up as a “picks-and-shovels player” in the AI sector, meaning it’s focusing on supplying infrastructure and not on backing just one AI use. Chen added the GPU pool could move Megaport “further up the value chain.” Reuters
Megaport is now tracking more in line with other Australian digital infrastructure stocks, with investors also following stocks like NEXTDC and Macquarie Technology Group. But Megaport is selling a software layer that connects compute, network, and storage through over 1,100 data centres in 31 countries, instead of just focusing on data centre space.
Execution is the risk here. These contracts kick in from fiscal 2027, with no customer names released yet. Returns from the GPU pool will hinge on factors like utilisation, when deployment actually happens, product mix and costs. Megaport also flagged in its announcement that there’s no guarantee forward guidance will be met and real figures might end up very different from current plans.
For now, Megaport stock has rewarded the company. The real question now is whether retail investors buy in like the big funds did, and if the market keeps pricing Megaport higher after the new shares make it onto the books.
