【AI + Bonds】 To cover AI expenses, Amazon reportedly issues bonds to raise up to $42 billion, with the longest maturity interest rate even surpassing U.S. Treasury bonds

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To support massive spending on artificial intelligence (AI) research and infrastructure, e-commerce and cloud leader Amazon (AMZN) is launching the largest corporate bond issuance in history. Bloomberg reports that Amazon aims to raise approximately $37 billion to $42 billion (about HKD 288.6 billion to HKD 327.6 billion) through “Transatlantic products” denominated in U.S. dollars and euros.

The report states that Amazon’s bond issuance will be divided into 11 parts, raising $25 billion to $30 billion, with maturities ranging from 2 to 50 years. Among them, the 50-year bond maturing in 2076 is initially priced at a spread of 1.55 percentage points above U.S. Treasury yields.

Additionally, Amazon plans to issue a total of €10 billion (about HKD 100.3 billion) in bonds, setting a new record for corporate bond issuance in the region.

The report indicates that the issuance of Amazon’s U.S. dollar bonds is managed by several top international investment banks, including Goldman Sachs, JPMorgan Chase, Citigroup, and HSBC.

Currently, these banks have declined to comment or have not responded immediately. Amazon filed documents with the U.S. Securities and Exchange Commission (SEC) on Tuesday (the 10th), but specific amounts have not yet been disclosed.

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