Nebius signs $3.5 billion Citi loan for AI infrastructure expansion
The secured facility runs for 364 days, with an initial interest margin of 2.75% above Term SOFR.
Amsterdam-based AI cloud provider Nebius has agreed to borrow $3.5 billion through a secured Citi facility to finance GPU purchases, data center construction and general corporate needs, the company said. Citi is serving as lead arranger.
The loan runs for 364 days. Its annual interest rate starts at 2.75% above the Term SOFR benchmark, with the margin able to reach 3.50%, subject to further adjustments.
Chief operating officer Ophir Nave said the financing meets Nebius’s immediate expansion needs. For a subsequent phase, the company could borrow against assets, backed by customer contracts worth more than $40 billion with investment-grade counterparties. Nebius said customer prepayments and cash generated by operations also contribute to its funding.
The agreement comes amid investor questions about how AI cloud companies finance their growth. In an interview with CNBC, chief revenue officer Marc Boroditsky said computing prices were increasing more quickly than Nebius had anticipated. He said a company auction had shown another increase and that its 2027 capacity would sell out if brought online.
Separately, Nebius began displaying live spot-GPU prices at Nvidia’s GTC conference in Berlin. That capacity can be interrupted. The company also offers short-term auctions and pay-as-you-go access, and is testing rebates for customers who return unused GPUs.
