AI cloud provider Nebius has secured a $3.5 billion financing facility from Citi to support its global data center expansion plans.
In a statement on Thursday, the company said the financing adds to a funding base that includes customer prepayments and operating cash flows, providing flexibility over the timing and structure of further external capital raising.
The facility runs for 364 days, with an initial interest rate of 2.75 percentage points above the Term SOFR benchmark, potentially rising to 3.5 percentage points above it, Nebius said. The proceeds will be used for data center development and GPU procurement, as well as for general corporate purposes, it added.
"Sequencing our financing is how we optimize our long-term cost of capital. This facility provides additional financing to support our near-term capacity build-out," Nebius Chief Operating Officer Ophir Nave said in the statement.
"We still have a range of capital sources available to us to finance the next phase of growth, including asset-backed financing based on investment-grade customer commitments of more than $40 billion of long-term contracts," Nave added.
Nebius' financing comes as AI infrastructure companies seek billions of dollars to expand their computing capacity. Last month, Nscale raised $3.36 billion in pre-IPO financing, while GMI Cloud secured $668 million in equity and debt funding.
Nvidia-backed Lambda is also reportedly seeking up to $4 billion in funding ahead of a potential public listing.