Nebius launches convertible notes and share offerings

Nebius Group N.V. (NASDAQ: NBIS) announced the launch of an offering of convertible notes and a concurrent offering of Class A shares to support business growth, according to a company statement.

The AI infrastructure company plans to use proceeds from the offerings to finance business expansion, including acquiring additional compute power and hardware, securing land plots, and expanding its data center footprint. The company stated it aims to scale its global data center portfolio through new greenfield sites and expand its customer base from AI startups to larger enterprises.

Nebius referenced a recently announced agreement with Microsoft as an incremental source of growth. The company said it expects to finance associated capital expenditures through a combination of cash flows under the arrangement and debt issuance secured against the contract and related infrastructure.

The Amsterdam-based company operates an AI-native cloud platform designed for intensive AI workloads. It also owns Avride, which develops autonomous driving technology, and TripleTen, an education technology company focused on tech career training.

Nebius stated the convertible notes are designed to limit potential shareholder dilution through high effective conversion premium levels while minimizing financing costs. The company said it remains focused on diversifying funding sources and maintaining appropriate debt levels.

The company holds equity stakes in other businesses including ClickHouse and Toloka. Nebius has research and development hubs across Europe, North America and Israel.

You May Also Be Interested In

• Magnolia Said In Lead To Acquire Wildfire For Over $4 Billion - Bloomberg
• Robo.ai Inc (AIIO) files for 22.34M share offering by selling stockholders
• Select Medical stockholders approve buyout by insider-led consortium