Financials Market: Nebius plans $4.5B convertible notes raise

Amsterdam-based AI infrastructure provider Nebius has announced plans to raise $4.5bn through convertible notes to finance AI compute capacity and data centre expansion. The offering consists of $2.75bn in notes due 2030 and $1.75bn in notes due 2034. Nebius, sometimes described as a neocloud, builds and operates GPU-packed data centres and offers compute access and AI application software to enterprise customers. The company has previously secured multi-billion-dollar AI infrastructure contracts with Meta and Microsoft and in May acquired Eigen, a US startup focused on improving open-source AI model performance, for roughly $643m in cash and stock. Proceeds will be used for data centre build-out, AI cloud investment, and GPU purchases. The capital raise underscores the scale of investment required in AI infrastructure as demand for compute capacity continues to grow.