Overview
- Nebius finalized a private $4.0 billion convertible senior note offering, estimating roughly $3.96 billion in net proceeds, with an option that could lift proceeds to about $4.55 billion.
- Reported terms include $2.25 billion of 1.25% notes due 2031 and $1.75 billion of 2.625% notes due 2033, with conversion prices in a roughly $180.31–$183.22 per-share range.
- Management says funds will go to data center construction, procurement of GPUs and other advanced components, and scaling its AI cloud platform.
- Shares dropped 10.5% after the initial $3.75 billion plan, then rebounded about 4.4% after the upsized $4.0 billion pricing, reflecting ongoing volatility.
- Large contracts and backing provide revenue visibility, including a reported up-to-$27 billion Meta deal, a multiyear Microsoft agreement, and a $2 billion Nvidia investment, while analysts flag dilution, heavy capex, and execution risk.