Amazon launches $25B bond sale to fund AI infrastructure
Amazon.com Inc. is back in the bond market, this time to raise at least $25 billion for its artificial intelligence buildout, according to Bloomberg.
The offering is split into eight parts, senior unsecured notes with maturities running anywhere from three years to 40. Most carry a fixed interest rate, though some float. Amazon has tagged the proceeds for general corporate purposes, which a spokesperson told CNBC can stretch to cover future capital spending or paying down debt already on the books.
Demand ran hot. Orders peaked near $62 billion on Tuesday before the banks trimmed the spread on offer, which pared the book to about $41 billion, or roughly 1.6 times the size of the deal. Amazon does not plan to borrow again this year, it told the underwriters.
Barclays plc, Goldman Sachs Group Inc., JPMorgan Chase & Co. and Morgan Stanley led the sale.
