SB Energy postpones planned IPO as Ohio data-center opposition intensifies

SB Energy has postponed its planned September initial public offering after bankers reportedly did not find enough buyers at a valuation of at least $50 billion for the project. The SoftBank subsidiary is building a data center in Ohio for OpenAI; according to the source, it has not yet placed any data center into operation.

The IPO delay comes as opposition to energy-intensive data-center development is gaining traction in Ohio. In Defiance, residents are seeking a referendum that would prohibit data centers above 25 MW. The city council has also imposed a six-month moratorium on considering construction applications for such facilities.

Local concerns cited in the article include electricity bills, grid-infrastructure costs, water use, agricultural land and tax incentives. Electricity bills in Defiance reportedly rose by 10–15% year on year in June, although the material does not provide the full calendar date for that comparison. The article also reports that expected data-center demand drove PJM capacity-auction prices up by more than tenfold over two years.

Tax treatment is another point of contention. Ohio’s budget reportedly forgone more than $2 billion in sales-tax revenue during 2024–2025 as a result of incentives for data-center operators.

For developers and capital providers, the case underscores the execution risk around large AI-infrastructure projects. Public resistance and disputes over how grid costs are allocated could delay approvals and raise the cost of power supply, potentially constraining access to public-market capital. SB Energy’s projected $439 billion in revenue over 20 years from 2028 remains a company forecast, not realised revenue or evidence of commissioned capacity.