Nebius Group’s shares rose 7.1% in pre-market trading on Thursday after the AI cloud provider closed a convertible notes offering valued at $5.75 billion, surpassing its initial $4.5 billion target.
The proceeds will fund data center expansion, GPU acquisitions, and the continued development of Nebius’s full-stack AI cloud platform, the company said. The offering follows a six-day decline that erased roughly 24% of Nebius’s market value.
Goldman Sachs upgraded its price target on Nebius to $328 from $286 on August 25, maintaining a Buy rating. The upgrade coincided with Nebius’s annual general meeting, where all 16 proposed resolutions were approved, including board reappointments and authorizations for share issuances and buybacks.
The broader neocloud sector showed strength ahead of IREN Ltd’s quarterly earnings release. Nebius reported 454% year-over-year revenue growth in the second quarter, while CoreWeave posted strong results. The NASDAQ was up more than 1% and the S&P 500 gained 0.5% during the session.
