Nvidia plans $20 billion debt sale to refinance obligations
Nvidia debt sale could raise $20B as AI demand fuels growth and refinancing See why the chipmaker is tapping bond markets for the first time since 2021
Nvidia plans to raise at least $20 billion in its first debt sale since the AI boom began, according to an SEC filing and people familiar with the matter. The company is expected to issue investmentgrade corporate bonds for the first time since 2021.
The chipmaker said the proceeds would be used for general corporate purposes, including repaying and refinancing existing debt. Sources said the total could end up closer to $25 billion.
The move comes as Nvidia continues to benefit from strong demand for AI hardware. The company has also increased shareholder returns through a larger dividend and a major share repurchase plan, while reporting substantial free cash flow in its latest quarter.