Oct 26 (Reuters) – Meta Platforms on Monday launched public offerings of about $35 billion in common stock and convertible preferred stock, as the Facebook parent seeks to finance its costly AI expansion.
The social media company also said it plans to launch a separate at-the-market share sale program of up to $60 billion after its new non-voting Class C shares begin trading, which is expected in the first quarter of 2027.
The fundraising plans come as Meta ramps up spending on data centers, computing capacity and AI products to compete with rival AI heavyweights OpenAI and Anthropic.
Meta had cash, cash equivalents and marketable securities of $82.45 billion, slightly exceeding its long-term debt of $80.92 billion as of September 30, according to its quarterly filing from last week.
The company has committed to spend about $825 billion in the future, primarily driven by its growing investments in data centers, AI-related infrastructure and cloud computing power.
(Reporting by Jaspreet Singh in Bengaluru; Editing by Leroy Leo)
Comments