Geothermal startup Fervo Energy pops 33% in IPO debut fueled by AI data center demand

Fervo Energy, the geothermal energy startup, saw its market valuation surpass $10 billion in its public market debut, an increase driven by demand for AI data centers — and the energy that can power them.

Fervo had raised $1.89 billion in an upsized initial public offering on Wednesday, which initially valued the company at around $7.6 billion. Demand for Fervo stock was so great that the company and its bankers upsized the offering several times, selling an additional 14.6 million shares while lifting the price range twice, ultimately settling on $27 per share.