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Nebius Group (NASDAQ:NBIS) has secured a USD 700 million private placement financing from institutional investors, including Accel, NVIDIA, and Orbis Investments. The company will issue 33,333,334 Class A shares at USD 21.00 per share, representing a 3% premium to the volume-weighted average price. The funding will accelerate the deployment of Nebius' full-stack AI infrastructure, including GPU clusters and cloud platforms.
The company now expects to achieve an annualized run-rate revenue of USD 750 million to USD 1.0 billion by year-end 2025. The Board has cancelled plans for a potential share repurchase program, choosing to invest capital in core AI infrastructure development instead.
Nebius AI Studio has been recognized as one of the most competitive Inference-as-a-Service platforms by Artificial Analysis. The platform offers access to leading open-source models including Llama 3.1 and Mistral families, with per-token pricing for affordable application development.
Key features include pricing up to 50% lower than major competitors, batch processing of up to 5 million requests per file, support for file sizes up to 10 GB, and throughput capacity of 10 million tokens per minute. The platform's Llama-3.1-405B model offers GPT-4 comparable performance at lower cost, with endpoints hosted in Finland and Paris, and upcoming expansion to the U.S.
Nebius (NASDAQ:NBIS) announced its expansion in the US with its first GPU cluster in Kansas City, scheduled to launch in Q1 2025. The facility will initially house thousands of NVIDIA H200 Tensor Core GPUs, with potential expansion from 5 MW to 40 MW, accommodating up to 35,000 GPUs. The company has opened customer hubs in San Francisco and Dallas, with a New York office planned by year-end. The AI-native cloud provider is also in discussions for a second, larger US GPU cluster for 2025. Nebius recently announced over $1 billion investment in AI infrastructure through mid-2025, aiming to deploy tens of thousands of NVIDIA GPUs globally.
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