NVIDIA (NVDA) is among a group of institutional investors financing a $700 million private placement for tech firm Nebius, the latter said in a statement Monday.
Nebius said it will issue approximately 33.3 million class A shares at $21 each. It also said the price represents an approximately 3% premium to the volume-weighted average price of the shares since it resumed trading on Nasdaq in October.
As a result of the financing, the company said that a buyback program it launched in August is "no longer warranted."
"The authorization to potentially repurchase shares was originally intended to provide legacy shareholders who wanted to exit our new business an opportunity to do so, especially in light of the prolonged suspension of trading on Nasdaq," Nebius Chairman John Boynton said in a statement.
In July, Nebius, formerly known as Yandex, announced that it had divested all of its Russian businesses for approximately $5.4 billion. It was then that the company said it had adopted the name Nebius.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.