Nebius upsizes debt sale to $5 billion to fund data centers, AI platform
AI cloud provider Nebius Group on Wednesday upsized its debt offering to $5 billion from $4.5 billion, as it seeks to ramp up investments in data centers and computing capacity.
The Amsterdam-headquartered company plans to issue private convertible notes worth $3 billion maturing in 2030, and notes worth $2 billion maturing in 2034. It may also sell an additional $450 million of the 2030 notes and $300 million of the 2034 notes if purchasers exercise their options, it said.
Proceeds from the offering will be used to expand data center capacity, invest in the company’s full-stack AI cloud platform and acquire GPUs and other key components needed to support growth.
Nebius announced the planned debt sale before the market opened on Wednesday.
Alongside the offering, the company said it would separately exchange $800 million of debt for about 15.8 million Class A shares with certain noteholders.
Nebius shares closed nearly 10% lower on Wednesday.
Nebius ended June with $8.04 billion in cash and cash equivalents, but spent $5.66 billion on property, equipment and intangible assets in the second quarter, reflecting heavy investment in data centers and computing capacity.
