Cerebras Systems has abruptly withdrawn its planned IPO in the US, without providing a specific reason. The company competes in the AI chip market with players like Nvidia and requested the withdrawal of its registration statement with the SEC.

The S-1 form was submitted in September 2024 but had not been declared effective, and no securities were sold. Cerebras has asked for fees paid for registration to be credited for future use as per SEC rules.

Following a $1.1bn funding round, led by Fidelity Management & Research, Cerebras set its valuation at $8.1bn. Additional investors included Tiger Global and Valor Equity Partners, but the IPO was delayed due to a national security review.

The withdrawal of Cerebras’ IPO plans coincides with increased US IPO activity after a period of reduced volume linked to trade policy concerns. The company is based in Sunnyvale, California, and focuses on designing hardware systems for large-scale machine learning model training.

Cerebras intends to use proceeds from the funding round to advance its AI processor technology, expand US manufacturing capacity, and scale its data center infrastructure. The decision to withdraw from the IPO was sudden and follows the completion of a significant funding round.

Read more at Yahoo Finance: AI chipmaker Cerebras withdraws plans for US stock market debut