Nebius (NBIS) Stock Raises $4.3B in Convertible Debt to Fund AI Data Centers

TLDR

• Nebius closed a $4.34 billion convertible debt round, split across two note tranches due 2031 and 2033
• The raise comes after a $27 billion data center supply deal with Meta and a $2 billion Nvidia investment
• Nebius plans to fund 60% of growth via customer prepayments from Meta and Microsoft
• The remaining 40% will come from a mix of equity and debt
• The company targets $16–20 billion in capital spending for 2026

Nebius Group (NBIS) has closed a $4.34 billion convertible debt raise, adding fresh firepower as it pushes deeper into AI infrastructure.

The round was split into two parts. The company issued $2.58 billion in 1.250% notes due 2031 — including an extra $337.5 million that investors chose to take up — alongside $1.75 billion in 2.625% notes due 2033. There’s also an option for investors to take an extra $262.5 million on the longer-dated notes.

Nebius Group N.V., NBIS

The raise lands in a busy stretch for Nebius. In March alone, the company sold $2 billion in share warrants to Nvidia at a price of $94.94 per share. It also closed a deal worth up to $27 billion to supply Meta with data center capacity. That follows a $17.3 billion supply contract with Microsoft signed in September.

Nebius stock closed Friday at $117.62, with Monday’s convertible notes priced at a conversion rate roughly 90% above that level.

Funding Structure

Nebius plans to fund 60% of its growth through customer prepayments — primarily from Microsoft and Meta — with the remaining 40% coming from equity and debt. Blackwell said the company will look at more large-scale supply deals if structured the right way. “They can be a very efficient source of capital,” he said.

The company has set a 2026 capital spending target of $16 billion to $20 billion. Blackwell said Nebius is now “well-funded” to meet that plan.

AI Cloud Services

Beyond infrastructure, Nebius sees AI cloud services as a longer-term revenue source. The idea is to layer software services on top of its physical data center buildout — giving it recurring revenue beyond the current wave of infrastructure demand.

Blackwell said the big contract wins also serve as validation of the company’s technical capabilities, not just its balance sheet.

Nebius said the Meta deal and the Nvidia investment both came within the last month, underscoring how quickly its deal pipeline has moved.

The company has not disclosed a specific breakdown of how the convertible debt proceeds will be deployed, but the stated goal is funding its ongoing data center expansion.

Monday’s financing round officially closed, capping a run of capital activity that has raised the company’s profile in AI infrastructure circles.

The convertible notes due 2033 carried a rate of 2.63%, with the 2031 notes set at 1.250%.

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