ASX short interest rises as Firmus prepares for $7bn IPO

Short sellers are targeting several companies on the Australian Securities Exchange (ASX), including Lotus Resources Ltd, which remains the most shorted with 14.8% interest despite a recent decline. Other heavily shorted entities include DroneShield Ltd at 14.3% and Boss Energy Ltd at 12.8%. Concerns regarding uranium production and technology valuations continue to drive these positions.

In a separate development, Australian AI infrastructure company Firmus is preparing for a potential $7 billion IPO on the ASX. The scale of the offering has drawn attention from hedge funds, which may view the listing as an opportunity to bet against the company’s valuation. This interest comes amid broader market debates regarding the sustainability of spending on AI infrastructure and the long-term demand for frontier AI systems.