Alphabet (GOOGL-US) Issues $200B Bond, Surpasses Plan with Record $1 Trillion+ Subscription

Alphabet (GOOGL-US) raised $200 billion through a bond issuance, exceeding its original $150 billion plan and receiving over $1 trillion in subscriptions, the highest-ever subscription for a corporate bond. The strong AI-driven capital needs underpin the issuance. The company’s announcement follows a record-setting offering by Oracle (ORCL-US) of a $250 billion bond that attracted $1,290 billion in subscriptions last week. Alphabet is also evaluating issuance of Swiss franc and British pound-denominated bonds, including a rare 100-year maturity. The longest-dated tranche, maturing in 2066, saw its credit spread narrow from 120 basis points over U.S. Treasuries to 95 basis points. The issuance supports Alphabet’s data center investments to back its long-term AI strategy, with the company planning up to $185 billion in capital expenditures this year, the highest in history and exceeding the total of the past three years.