12:02 PM EST, 12/02/2024 (MT Newswires) -- (Updates with recent stock movement in the last paragraph.)

Nebius Group ( NBIS ) announced Monday a $700 million private placement financing with participation from Accel, NVIDIA, and Orbis Investments.

The company said the funds will support the company's global expansion of full-stack AI infrastructure, including large-scale GPU clusters, cloud platforms, and AI development tools.

The financing involves issuing 33.33 million Class A shares at $21 each, a 3% premium to the recent average trading price.

Proceeds will bolster Nebius' ( NBIS ) AI-native infrastructure, such as its Nebius AI Studio and build-to-suit data centers.

Accel Partner Matt Weigand has been granted board observer rights and will be nominated as a director in 2025.

Following strong trading activity since October, Nebius ( NBIS ) has canceled plans to repurchase its Class A shares.

The company's shares were up more than 17% in recent trading.

Price: 25.75, Change: +3.76, Percent Change: +17.10