Nebius Group secures $3.5 billion loan and 50‑MW data‑center deal, shares jump over 11% on AI cloud expansion
Nebius Group announced a $3.5 billion senior secured loan from Citi priced at SOFR + 2.75‑3.50% and a 12‑year, 50‑MW capacity agreement for a southeastern U.S. data centre. The financing gives the company fresh capital to expand AI‑cloud infrastructure and purchase GPUs. The news sent the stock up 11%‑11.3% on October 27, 2026. Bank of America kept its Buy rating with a $310 price target, seeing upside despite the recent 33% decline since the end of September.
Why it matters
The new loan improves Nebius' short‑term liquidity, allowing it to fund data‑center growth and GPU purchases, which could support higher future revenue. Bank of America’s $310 target implies a potential 95% upside from the closing price, according to its analyst Tal Liani.
Key facts
- 1Nebius shares fell 33% from the end of September through October 23. finance.yahoo.com
- 2Bank of America reiterated a Buy rating and a $310 price target, 95% above the Friday close. finance.yahoo.com
- 3Nebius expects capital expenditures of about $29 billion in 2027. finance.yahoo.com
- 4Nebius added $5.75 billion of convertible notes in August and analysts expect net debt to reach about $14 billion by year‑end and $34 billion by the end of 2027. finance.yahoo.com
- 5Nebius secured a $3.5 billion senior secured loan from Citi at a margin of SOFR + 2.75%, potentially rising to 3.50%. finance.yahoo.com
- 6The company signed a 12‑year, 50‑MW capacity deal with AIB for a southeastern U.S. data centre. stockstotrade.com
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.