Microsoft<\/a> in September.<\/p>\n“We’ll continue to consider these types of deals as we go, just because if they’re structured \u2060in the right way, they can be a very efficient source of capital,” he said.<\/p>\n
STRATEGIC FOCUS ON AI CLOUD<\/p>\n
Blackwell said the big contract wins were not only a validation \u200bof its \u200bexpertise, but also a way to fund \u200ba business that will sustain \u200cit in years beyond the current AI demand frenzy – offering AI cloud services to firms on top of the physical infrastructure it provides.<\/p>\n
He rejected the idea that Nebius is expanding too quickly and will be left vulnerable in a downturn. “As long as enterprise AI adoption does continue to increase… the need for what we’re doing \u200cis going to make sense,” he said.<\/p>\n
Nebius plans \u200bto fund 60% of growth from customer prepayments – \u200blargely Microsoft and Meta – and 40% \u200bthrough a mix of equity and debt, Blackwell said.<\/p>\n
On March \u200c10, the firm sold $2 billion in share warrants \u200bto Nvidia at \u200ba share price of $94.94. Monday’s convertible bond offering was increased amid strong demand, Blackwell said.<\/p>\n
It featured a rate of 2.63% for notes due in 2033, \u200bwith conversion at roughly 90% \u200cabove the company’s closing stock price Friday of $117.62.<\/p>\n
“We’ve managed to achieve a \u200bsignificant amount of funding while really minimizing the dilution,” he said.<\/p>\n
(Reporting \u200bby Toby Sterling; Editing by Arun Koyyur)<\/p>\n","protected":false},"excerpt":{"rendered":"By Toby Sterling AMSTERDAM, March 22 (Reuters) – Nebius closed a $4.34 billion convertible debt funding round on…\n","protected":false},"author":3,"featured_media":676421,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_share_on_mastodon":"0"},"categories":[21],"tags":[691,738,285099,158,253490,67,132,68],"class_list":["post-676420","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-convertible-debt","tag-technology","tag-tom-blackwell","tag-united-states","tag-unitedstates","tag-us"],"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@us\/116279582732398669","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/676420","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/comments?post=676420"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/posts\/676420\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media\/676421"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/media?parent=676420"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/categories?post=676420"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/us\/wp-json\/wp\/v2\/tags?post=676420"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}