Csquare (CSQR) Registration filing summary

Company overview and business model

• Operates a leading North American digital infrastructure platform with 64 data centers in 21 metropolitan markets across the US, Canada, and UK, focusing on carrier-neutral colocation and interconnection services.

• Serves over 1,700 diversified enterprise, network, cloud, and technology customers, with high customer retention and recurring revenue under multi-year contracts.

• Facilities are engineered for reliability, security, and scalability, supporting high-density and AI workloads, with 389 MW of sellable power capacity as of March 31, 2026.

• Business model emphasizes capital-efficient expansion within existing sites, leveraging embedded power and connectivity to support customer growth and minimize new construction costs.

• Revenue is primarily generated from colocation and interconnection services, with additional offerings such as remote hands, equipment installation, and technical support.

Financial performance and metrics

• Revenue for Q1 2026 was $270.5M, up 16% year-over-year; FY 2025 revenue was $987.0M, up 9% from 2024, and 358% from 2023 due to major acquisitions.

• Net loss for Q1 2026 was $66.0M; FY 2025 net loss was $119.9M, compared to net income of $458.5M in 2024 (driven by a $544.1M bargain purchase gain from acquisition).

• Adjusted EBITDA for Q1 2026 was $108.3M (up 25% YoY); FY 2025 Adjusted EBITDA was $390.0M, up 35% from 2024.

• Funds from operations (FFO) for Q1 2026 was $18.5M; FY 2025 FFO was $152.0M, down from $718.1M in 2024 due to the absence of the prior year’s acquisition gain.

• As of March 31, 2026, total assets were $6.1B, with $4.8B in long-term debt and $357.6M in available liquidity.

Use of proceeds and capital allocation

• Net proceeds of ~$1.19B (or ~$1.37B if underwriters exercise their option) expected, based on a $25/share IPO price.

• $921M to repay outstanding borrowings under the revolving credit facility, promissory note, and variable funding notes; $250M to repay Series 2020-2 Class A-2 notes; remainder for general corporate purposes, including acquisitions, working capital, and potential dividends.

• Management retains broad discretion over use of proceeds; proceeds may not be used immediately.