Meta to raise $30 billion in its biggest bond sale

Core Insights - Meta Platforms is set to raise up to $30 billion in its largest bond offering to date, driven by the need to fund significant investments in artificial intelligence infrastructure [1] - The company experienced a decline in share price by over 11% as costs surged by 32%, outpacing a 26% increase in revenue [2] - Meta's capital expenditure outlook for this year has been raised to between $70 billion and $72 billion, up from a previous forecast of $66 billion to $72 billion [5] Investment in AI - Meta has entered into a $27 billion financing deal with Blue Owl Capital for its largest data center project, "Hyperion," located in Richland Parish, Louisiana [3] - Major tech firms, including Meta, are projected to collectively spend $400 billion on AI infrastructure in 2023, according to Morgan Stanley [3] - The company is heavily investing in attracting top AI talent, with CEO Mark Zuckerberg leading a hiring initiative for the newly reorganized AI unit, Superintelligence Labs [4] Bond Offering Details - The bond sale will consist of six parts with maturities ranging from five to 40 years, with principal amounts between $4 billion and $6.5 billion [2] - Co-managers for the bond sale include Morgan Stanley, Allen & Company, and Blaylock Van [2] - The bond sale has influenced the selling of U.S. Treasuries as investors seek to hedge amid broader market uncertainties [5]