Wall Street banks including Bank of America and Morgan Stanley have begun trading part of a US$35 billion financing package tied to Broadcom and Anthropic’s AI infrastructure expansion.

Apollo Global Management arranged the package with Blackstone and also marketed the debt to institutional investors.

The borrower is a special-purpose vehicle that buys chips developed by Google and Broadcom and leases them to Anthropic. Anthropic has said it is expanding its use of Google Cloud tensor processing units and services.

Pricing documents showed the bonds at about 100 to 100.5 cents on the dollar. The delayed-draw structure lets the borrower access the funding in about 16 releases over more than a year, as the chips become available.

The sale also shows how AI infrastructure financing is spreading across bank and private credit markets. Large US banks’ committed lending to private credit vehicles grew from about US$8 billion in early 2013 to about US$95 billion at the end of 2024, according to a Federal Reserve note.

🔗 Source: Bloomberg