Nebius secures $3.5 billion from Citi for data centers and GPUs — Channel NewsAsia

Nebius, a company that provides cloud services for artificial intelligence, has announced a $3.5 billion financing facility from Citi. It is planned to be used for the further development of data centers and the purchase of graphics processing units (GPUs) as part of expanding computing capacity.

Financing terms

As Channel NewsAsia reports, citing Reuters, the maturity of the new financing facility is 364 days. The initial interest rate is set at 2.75 percentage points above the term SOFR benchmark.

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Situation in the AI infrastructure sector

Nebius' announcement came amid a sell-off in shares linked to artificial intelligence infrastructure that took place the previous week. Before that, the value of bonds issued by Nebius competitor CoreWeave fell sharply.

CoreWeave and Nebius are generally considered among the leading “neocloud” companies building data centers specialized in artificial intelligence tasks.