Volozh's Nebius raised $3.75 bln. Because of the deal with Microsoft, the price of the securities rose by 44%
Nebius increased its convertible bond offering by $0.75 bln
AI company Nebius, which is led by Yandex co-founder Arkady Volozh, has offered $3.75 billion in stocks and bonds. The papers were sold at a price 44% above what it was before the contract was announced. This shows how dramatically the value of companies in the AI market can change, MarketWatch noted.
Details
Nebius, a provider of cloud services for artificial intelligence, raised about $3.75 billion by selling convertible notes and shares, the company said. The company increased its convertible notes offering to $2.75 billion, up from the originally announced $2 billion. Shares were sold for about $1 billion at $92.50 per share. That's 44% above the level at which they were trading before the big cloud deal with Microsoft.
Nebius convertible bonds were placed in two tranches: $1.375 billion each. One series with a coupon of 1% is due in 2030, the other with a coupon of 2.75% in 2032. The conversion price of the bonds is set at $138.75 per share, which is 50% higher than the offering price, Bloomberg writes.
The company said it will use the proceeds to "further grow its business, including acquiring additional computing capacity and equipment, purchasing strategically located land from reliable providers, expanding its data center network and for general corporate purposes."
The company's papers were falling by more than 2% in the U.S. trading on September 11. But compared to the beginning of 2025, Nebius securities are up 230%.
Context
Amsterdam-based Nebius announced on September 8 that it had signed a contract with Microsoft, under the terms of which it will provide the US IT giant with infrastructure capacity based on graphics processing units (GPUs, used to work with AI) as part of a five-year deal. Its value amounted to $17.4 billion, with Microsoft having the right to purchase additional capacity, as a result of which the total value of the deal could rise to $19.4 billion.
Nebius will give the tech giant access to dedicated GPU-enabled infrastructure at a new data center in the U.S. Vineland, New Jersey, is scheduled to begin later in 2025.
This article was AI-translated and verified by a human editor
