Meta explores South Korean bond sale targeting more than 1 trillion won

Meta is reviewing a won-denominated bond sale in South Korea that could raise at least 1 trillion won ($724.0 million) for artificial-intelligence investment, while rising U.S. long-term Treasury yields increase borrowing costs at home. The company has approached South Korean credit-rating agencies for a private preliminary assessment and is working with domestic and international securities firms on regulations, disclosure obligations, funding costs and investor demand. A public deal would require continuing quarterly, semiannual and annual reporting, and Meta would also need to assess won-dollar exchange rates, currency-swap costs and whether the Korean market can absorb the issuance at competitive yields. The potential sale comes as Big Tech companies expand local-currency borrowing and raise spending on AI infrastructure. Goldman Sachs said Amazon, Alphabet, Meta and Oracle issued $194 billion of corporate bonds from the start of the year through last month, nearly double the $108 billion issued during all of last year, and projected issuance of $250 billion this year and $400 billion in 2027. Demand for AI-company bonds has weakened as supply grows, while the 30-year U.S. Treasury yield recently reached 5.27% before settling at 5.162%.

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