Amazon Aims for 12 Billion Dollars in Bond Exports

Amazon's Bond Issuance and Financial Goals

Amazon aims to issue bonds worth 12 billion dollars. Sources close to the matter reported that initial pricing discussions for a 40-year bond were conducted at an average of 1.15 points above Treasury bonds.

Management of Bond Sales

Leading the bond issuance process are major financial institutions such as Goldman Sachs Group Inc., JPMorgan Chase & Co., and Morgan Stanley. It is stated that the proceeds will be used for various financial purposes, including the company's acquisitions, capital expenditures, and stock buybacks.

Market Trends and Record Issuances

The bond sale that took place on Monday followed Google's parent company Alphabet Inc. issuing 25 billion dollars in bonds earlier this month. Meta Platforms Inc. completed the largest bond issuance of the year last month with 30 billion dollars. Additionally, Oracle Corp. issued high-quality bonds worth 18 billion dollars in September.

Increase in Global Issuances

The surge in bond issuances by technology companies has contributed to global bond issuances reaching a record level of 6 trillion dollars as of 2023. JPMorgan Chase forecasts that the current wave of spending to finance artificial intelligence investments will push issuances in the high-quality bond market in the U.S. to a record level of 1.81 trillion dollars next year.