Amazon issues longest 50-year bonds to fund AI development

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Deep Tide TechFlow News, March 10 — Amazon (AMZN.O) is re-entering the bond market, joining the wave of corporate financing driven by the AI boom. According to sources, the company plans to issue up to 11 tranches of bonds, ranging from 2 to 50 years in maturity. The longest tranche (maturing in 2076) is initially priced at a spread approximately 1.55 percentage points above U.S. Treasury yields.

HSBC, Citigroup, Goldman Sachs, and JPMorgan will handle the underwriting of this bond issuance. This is the latest in a series of large bond offerings by major cloud computing companies, which are preparing to invest hundreds of billions of dollars in building AI infrastructure. So far, investor demand remains strong, with recent bond offerings often oversubscribed multiple times the issuance size. (Jin10)

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