Key Highlights

• Nebius successfully completed a $4.34 billion convertible debt offering divided between two separate note tranches maturing in 2031 and 2033
• The financing follows major agreements including a $27 billion data center supply partnership with Meta and a $2 billion investment from Nvidia
• The company intends to finance 60% of expansion through customer prepayments from partners like Meta and Microsoft
• Equity and debt instruments will cover the remaining 40% of funding requirements
• Nebius has established a $16–20 billion capital expenditure goal for 2026

Nebius Group (NBIS) has successfully finalized a $4.34 billion convertible debt offering, securing substantial capital as the company accelerates its AI infrastructure expansion strategy.

The financing package comprised two distinct components. Nebius issued $2.58 billion in 1.250% convertible notes maturing in 2031 — which included an additional $337.5 million tranche exercised by investors — plus $1.75 billion in 2.625% notes with a 2033 maturity date. Investors also have the opportunity to purchase an additional $262.5 million in the longer-maturity notes.

Nebius Group N.V., NBIS

Tom Blackwell, Chief Communications Officer, noted the offering was expanded because of robust investor appetite. “We’ve managed to achieve a large amount of funding while really minimizing the dilution,” he stated.

The capital raise arrives during an exceptionally active period for Nebius. Just this March, the company completed a $2 billion share warrant transaction with Nvidia at a strike price of $94.94 per share. Additionally, it finalized an agreement valued at up to $27 billion to provide Meta with data center infrastructure. This builds on a $17.3 billion supply arrangement with Microsoft that was signed last September.

Nebius stock finished trading on Friday at $117.62, while the convertible notes issued Monday were priced at a conversion premium of approximately 90% above that closing price.

Capital Allocation Strategy

Nebius has outlined plans to secure 60% of expansion funding through customer advance payments — mainly from Microsoft and Meta — while the balance of 40% will be sourced through a combination of equity issuances and debt financing. Blackwell indicated the company remains open to additional large-scale supply agreements if the terms align properly. “They can be a very efficient source of capital,” he explained.

The organization has committed to a 2026 capital investment range of $16 billion to $20 billion. According to Blackwell, Nebius is now “well-funded” to execute on these objectives.

He dismissed worries about excessive expansion. “As long as enterprise AI adoption does continue to increase… the need for what we’re doing is going to make sense,” he remarked.

Cloud Services Strategy

Beyond physical infrastructure, Nebius views AI-focused cloud services as a critical long-term revenue opportunity. The strategy involves building software service layers atop its data center infrastructure — creating sustainable recurring revenue streams that extend beyond current infrastructure demand cycles.

Blackwell emphasized that the major contract victories also demonstrate the company’s technical credentials, not merely its financial capacity.

Nebius revealed that both the Meta partnership and the Nvidia investment materialized within the past month, highlighting the accelerated pace of its strategic deal flow.

The company has not provided detailed allocation plans for the convertible debt proceeds, though the primary objective is financing ongoing data center expansion initiatives.

Monday marked the official completion of the financing round, concluding a significant capital-raising period that has elevated the company’s standing within AI infrastructure investment communities.

The 2033-maturity convertible notes featured a 2.63% interest rate, while the 2031 notes were priced at 1.250%.