Amazon Returns to Bond Market: Issues Up to 50-Year Bonds to Raise Funds for AI Development

Odaily News Amazon is returning to the bond market, joining the wave of corporate financing led by the artificial intelligence boom. According to informed sources, the company plans to issue bonds with up to 11 different maturities, ranging from 2 to 50 years. Preliminary pricing discussions for the longest-dated portion of this deal (maturing in 2076) are around 1.55 percentage points above the yield on U.S. Treasury bonds. HSBC Holdings, Citigroup, Goldman Sachs Group, and JPMorgan Chase will underwrite this bond issuance. This is the latest in a series of massive bond issuances by major cloud computing companies recently, as these firms prepare to invest trillions of dollars in building AI infrastructure. So far, investor demand remains robust, with recent bond issuances often being oversubscribed by several times the offering size. (Jin10)