Amsterdam-based artificial intelligence cloud provider Nebius has raised billions in new securitized debt, with plans to use the capital infusion to fund the expansion of its digital infrastructure footprint.

Nebius on Monday announced the closing of one of the largest convertible bond offerings on record, a $5.75B debt raise. At the same time, the firm announced a separate debt-to-equity agreement with some holders of earlier bond offerings in which the Nasdaq-listed company will swap $800M of its previous offerings for roughly 16 million new shares.

The Nvidia-backed company is one of a growing number of AI-focused digital infrastructure firms, often called neoclouds, that operate specialized AI data centers and rent out high-performance computing power for AI training and inference.

Nebius said in a statement that it intends to use the proceeds from its latest debt offering largely to finance the expansion of its data center footprint and expenditures related to data center construction and build-out, as well as the procurement of graphics processing units and other related infrastructure.

Nebius is in the process of expanding its data center portfolio across Europe and North America. The Dutch firm operates facilities in Finland, France and the UK, and it is pursuing projects in U.S. markets including New Jersey, Pennsylvania and Missouri.

"We know that everything we build, we can sell several times over," Nebius Chief Communications Officer Tom Blackwell said, according to Reuters.

Wall Street responded negatively to the deal. Nebius’ share price dropped by as much as 6% following the Monday announcement of the debt raise and debt-for-equity deal.

Investors are reportedly concerned about dilution due to the creation of new shares. They are also concerned about the size of the debt raise. The nearly $6B in new debt brings the firm’s total convertible debt to $12B. Its 2025 revenues totaled $529.8M.

The firm has taken on significant debt in the last six months. In July, Nebius secured $775M in debt financing. In March, the same month Nvidia made a $2B investment in the company, Nebius announced a $4B bond offering.