Meta plans to raise up to $95 billion in new shares to fund AI infrastructure

Meta Platforms said on Monday 26 October that it plans to raise a total of up to $95 billion by selling new shares to pay for artificial intelligence infrastructure, including data centres and computing capacity.

The company said it would first raise about $35 billion through underwritten public offerings of Class A common stock and of depositary shares representing mandatory convertible preferred stock. It plans to raise up to $60 billion more later through an at-the-market programme, under which shares are sold gradually on the market, CNBC reported.

Meta said chipmakers Nvidia, AMD and Broadcom had expressed interest in buying up to $5 billion of the Class A shares in the offering.

According to CNBC, Meta said the money would support its apps, its AI agent Muse and its data centre business, and that it would fund its investments through a mix of operating cash flow, investment-grade debt, partnerships and equity.

Meta shares were down 1.6% in morning New York trading after the announcement, CNBC reported; a later Reuters report from late morning New York time said they were up 0.2%.

Last week Meta reported third-quarter revenue of $64.6 billion and raised the bottom of its full-year capital spending forecast to $135 billion, with a range up to $145 billion.

See also: Meta third-quarter results.