Meta Platforms (META) plans to raise $95 billion U.S. to fund its investments in artificial intelligence (A.I.) infrastructure and technologies.
The company known for its social media platforms such as Facebook and Instagram said it will initially raise $35 billion U.S. in a public equity offering.
It will later raise an additional $60 billion U.S. with an at-the-market stock offering.
Meta said in a statement that its planned investments will support “emerging A.I. opportunities,” including its apps, Muse A.I. agent, and its data center business.
The company said It plans to fund these investments through a mix of cash, debt, and equity capital.
Meta is among the major technology companies that are tapping debt markets to fund their A.I. infrastructure buildout.
Last week, Meta posted third-quarter financial results that showed negative free cash flow and an increase in capital expenditures this year to a range of $135 billion U.S. to $145 billion U.S.
Offering more stock on the open market to raise money will dilute existing shareholders of Meta Platforms and is often viewed as a negative on Wall Street.
META stock has declined 14% over the last 12 months to trade at $642.62 U.S. per share.
Tech Insider
