Amazon Completes $25 Billion AI‑Focused Bond Sale
Amazon.com Inc. finalized an investment‑grade bond offering of $25 billion on Tuesday, aimed at financing its expanding artificial‑intelligence infrastructure. Bloomberg reported that investor demand peaked at $62 billion, a notable decline from the $37 billion debt sale in March, which had attracted roughly double the order volume.
The issuance comprised eight tranches covering maturities from three to forty years, all priced tighter than the company’s initial guidance thanks to its strong credit ratings (Moody’s A1, S&P AA, Fitch AA‑). The floating‑rate tranche consisted of $750 million with a 58‑basis‑point spread over SOFR for a three‑year term. Fixed‑rate tranches included:
- $3.5 billion at 40 bps over Treasuries for three years,
- $4.25 billion at 55 bps for five years,
- $3 billion at 70 bps for seven years,
- $4.5 billion at 80 bps over Treasuries for ten years,
- $2.75 billion at 100 bps for twenty years,
- $4 billion at 110 bps for thirty years,
- $2.25 billion at 125 bps for forty years.
This transaction pushes Amazon’s cumulative borrowing past the $100 billion mark over the last twelve months and underpins a projected $200 billion capital‑expenditure budget for 2026. On a broader scale, the deal lifts global AI‑linked debt issuance beyond $335 billion for the year. Amazon has indicated to underwriters that this sale exhausts its capacity to raise additional debt for the remainder of 2026.