Amazon to Issue Eight Tranches of Investment-Grade Bonds, Raising at Least $25 Billion

Jin10 Data July 7 - Amazon.com Inc. is returning to the U.S. bond market to raise funds for its artificial intelligence infrastructure buildout. According to people familiar with the matter, the company will issue eight tranches of benchmark bonds with maturities ranging from three to 40 years. The longest-dated bond (maturing in 2066) has initial price guidance of about 1.45 percentage points above Treasuries. The dollar-denominated bond issuance is said to raise at least $25 billion. Barclays, Goldman Sachs, JPMorgan Chase, and Morgan Stanley are managing the offering. Proceeds will be used for general corporate purposes, which may include debt repayment, acquisitions, and capital expenditures. This is the latest in a series of large-scale bond offerings by major cloud computing companies, which are pouring hundreds of billions of dollars into AI infrastructure. So far, investors have been actively subscribing, with subscription sizes multiple times the issuance scale.
(From Jin10 Data App)