ERock targets $5 billion valuation in June 10 IPO as AI power demand surges
Formerly Enchanted Rock, ERock plans to offer 27.91 million Class A common shares at $20–$23, capitalising on a 778.6% year-on-year increase in contracted data centre orders.
On-site power solutions provider ERock, formerly known as Enchanted Rock, is set to launch its initial public offering on June 10. The Houston-based company plans to issue 27.91 million Class A common shares at a price between $20 and $23 per share, targeting a deal value of approximately $641.9 million and a post-money valuation of $5 billion. The shares will trade under the ticker symbol “EROC”.
The listing comes as ERock capitalises on explosive demand for AI infrastructure, which requires massive, reliable power for GPU clusters and data centre operations. The company designs and deploys distributed power systems for utilities and commercial clients, citing strong interest from firms such as Microsoft, Wistron, and Foxconn. Its modular power systems, which can scale to over 1 GW, are designed to provide immediate, dispatchable power while grid capacity lags behind rapid infrastructure expansion.
Financial data released for the first quarter of 2026 highlights the scale of this demand. ERock reported a $1.28 billion backlog for contracted power system sales, representing a 778.6% year-on-year increase. The company noted that all growth in this backlog was attributed to data centre customers, reflecting a critical need for speed-to-power solutions in the digital infrastructure sector.
Despite the surge in orders, the company reported a net loss of $17.21 million for the first quarter, an 8% increase year-on-year. Total revenues grew 31.6% to $31.74 million, with power system sales revenues rising 13.5% to $15.92 million. Adjusted gross profit nearly doubled to $5.19 million, up 99.3% year-on-year, although the firm continues to operate at a loss with an adjusted EBITDA loss of $12.42 million.
To meet the projected rise in electricity demand, ERock is expanding its manufacturing capacity. The company is developing the Hyperion facility in Houston, Texas, in addition to its existing Titan plant. ERock projects that U.S. electricity load growth will accelerate to approximately 5.7% annually between 2025 and 2030, driven by AI and broader electrification, positioning its natural gas-fired generation technology as a key component of the grid’s future resilience.
