Anthropic offers Blackstone over‑10% yield on $9 billion junior debt in $60 billion AI chip financing
Anthropic is proposing a junior debt tranche of $9 billion to Blackstone, anchored by a coupon of more than 10% and total returns above that level. The tranche is part of a $60 billion financing package called Project North Star, which also includes $42 billion of senior debt guaranteed by Broadcom. Blackstone’s investment would represent half of the $18 billion junior portion, with the debt backed by Anthropic’s five‑year lease payments on Google’s custom tensor processing units.
Why it matters
The deal gives Blackstone exposure to a high‑yield AI infrastructure loan, potentially delivering returns above 10% for its investors. Broadcom’s guarantee on the senior tranche reduces credit risk for the overall package, which may influence pricing of other AI‑related debt.
Key facts
- 1Anthropic is offering Blackstone a coupon of more than 10% on a $9 billion junior debt slice. investing.com
- 2The junior tranche represents half of the $18 billion junior debt portion of the financing. investing.com
- 3Total returns on the junior debt are expected to exceed the 10% coupon after accounting for issuance discounts and fees. investing.com
- 4The financing package totals $60 billion, with $42 billion of senior debt guaranteed by Broadcom. investing.com
- 5Anthropic’s debt is backed by five‑year lease payments on Google’s custom tensor processing units. investing.com
- 6Anthropic’s prospectus shows a $125.2 billion, five‑year commitment to lease Google’s TPUs. startupfortune.com
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.