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Geothermal energy developer Zanskar is seeking to raise $100 million in Series C funding, three sources tell Axios Pro.

Why it matters: Data center developers are seeking alternative energy supplies.

The big picture: Zanskar aims to challenge Bill Gates-backed Fervo Energy, a Houston-based unicorn that's the most prominent and well-funded geothermal developer in the U.S.

• Fervo has raised about $1 billion and reportedly expects to bring the initial phase of its first commercial-scale project online as soon as next summer.
• Both companies are deploying advanced drilling methods developed in the oil and gas sector. Zanskar says its software enables it to find profitable geothermal deposits that would otherwise be missed.

What they're saying: "Zanskar can use the same tech Fervo has, more or less, but Fervo doesn't have Zanskar's exploration technology," the source says. "And the key thing for geothermal is drilling in the right place."

Driving the news: Zanskar began pitching investors in August, one of the sources says, three months after the company repowered a 15 MW geothermal plant in New Mexico.

Follow the money: The Salt Lake City-based company previously raised about $65 million, including nearly $50 million in Series B funding last year, according to the source.

• The startup expects to close its latest raise by the end of this year, the source says.

Databricks today joined the centicorn club, raising $1 billion at more than a $100 billion valuation.

• It also disclosed that it was free cashflow positive over the past 12 months, and that in Q2 it crossed the $4 billion ARR mark and the $1 billion ARR mark for AI products.

A few quick notes on the deal, based on a chat with Databricks co-founder and CEO Ali Ghodsi.

Deal details: The entire round is primary capital. Most of it is earmarked to grow two products: Agent Bricks, which lets companies build agents specific to their data, and Lakebase, a set of operational databases optimized for AI agents.

• Some also may go toward M&A, where Databricks has been very active.

Look ahead: Ghodsi wouldn't talk IPO timing, but he highlighted how the company is ready when it comes to internal financial controls and reporting.

• "If my intention was to stay private long-term, I might be burning $10 billion per year rather than being cashflow-positive."

Big picture: Ghodsi still believes there's an AI bubble and that some of the big foundational model makers will fail.

• He also acknowledges that some enterprises got over their skis on AI adoption, but he doesn't believe that any will walk away.
• "CEOs banged on the table and said they needed AI, so a bunch of people spent a bunch of money on AI. Not all of those investments were wise. Now we're seeing more and more companies be careful about where they place their bets ... Specifically where they have an unfair advantage, like data or customer relationships their competitors don't have, and applying AI to that."

Patient Square Capital is pursuing an acquisition of health equipment and services company Premier, Axios has confirmed.

Why it matters: A deal would let Premier — currently the only publicly traded group purchasing organization — ride out the tariff storm in private.

Catch up quick: Deliberations are early-stage and a deal is not guaranteed, per Bloomberg, which first reported the discussions.

By the numbers: Premier's stock has gained 22% this year, giving it a current market cap of about $2.13 billion.

• The company's stock was trading at about 10x CY26E EV/EBITDA prior to the reports.

What they're saying: "The company's path to renegotiating its various GPO contracts is almost complete, which should at least give greater clarity on the growth path forward," Leerink analyst Michael Cherny wrote in a Sept. 6 note.

Friction point: As a middleman between health systems and medical equipment makers, Premier's business has massive tariff exposure.

• The company said in a recent filing: "Not all of our supplier contracts have [tariff] protections and suppliers may seek to raise prices in response to tariffs regardless of contractual provisions."

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