AI cloud firm Nebius rises after upsized $5 bln convertible debt sale
NBIS•Shares rise after upsized financing
AI cloud provider Nebius Group's NBIS.O shares were up 1.4% at $227.03 before the bell on Thursday after securing more capital than planned.
Amsterdam-based company late Wednesday announced pricing private offerings of $3 billion 0.5% convertible bonds due 2030 and $2 billion 4.5% convertible bonds due 2034.
Additional exchange and recent performance
Alongside the offering, the company will separately exchange $800 million of existing 2029 and 2031 convertible bonds for about 15.8 million shares with certain holders.
Through Wednesday's close, NBIS shares had surged about 167% year to date for a market capitalization of about $61 billion.
In March, the company announced pricing an upsized sale of $4 billion in convertible bonds on the heels of a deal with Meta Platforms META.O.
Conversion terms and planned use of proceeds
The conversion price on the 2030 convertible bonds of $313.46 and the conversion price on the 2034 convertible bonds of $324.65 represent premiums to the stock's last close of 40% and 45%, respectively.
NBIS shares on Wednesday finished down nearly 10% at $223.90 after the company launched a $4.5 billion offering to expand data center capacity, invest in its full-stack AI cloud platform and acquire GPUs and other key components needed to support growth.
