Nvidia raised $25 billion by selling bonds, even though it already has more than $13 billion in cash. This is its first debt deal since 2021.
Investors wanted to buy $85 billion worth of bonds, which was over three times the amount Nvidia planned to offer. This strong demand led Nvidia to increase the deal from its original $20 billion target.
The bigger question is what Nvidia’s move says about the next stage of AI development.
Nvidia just borrowed $25 billion, which seems unusual since it doesn’t actually need the cash.
Nvidia, the leading AI chip maker, completed its first bond sale since 2021. The company raised money through seven different bond offerings, with some maturing as late as 2056. Investors wanted $85 billion worth of bonds, so Nvidia increased the deal from the original $20 billion plan.
