The social media giant is expanding its current bond issuance to secure as much as $25 billion to cover costs associated with its artificial intelligence buildout. The multi-currency offering started with a five-part U.S. dollar sale seeking $15 billion, with the remainder to be raised through euro-denominated tranches. Moody’s assigned an Aa3 rating with a stable outlook to the new notes, which include debt with maturities extending as far as 38 years.
The debt sale is the latest component of a funding effort totaling nearly $120 billion that includes $37.5 billion in common and preferred stock and an at-the-market program. The capital push follows S&P Global Ratings’ decision to revise Meta’s credit outlook from stable to negative, citing uncertainty over capital expenditures. S&P expects Meta’s AI-related spending to top $225 billion in 2027, potentially leading to a free operating cash flow deficit of $71 billion that year and pushing leverage above 1.0x.