Nvidia is tapping the debt markets for the first time since 2021, raising $25 billion through a corporate bond sale — its largest such move since the AI boom began. According to Reuters, two sources confirmed the deal was upsized from an initial target of around $20 billion after demand far exceeded supply.
The appetite was staggering. Nvidia reportedly attracted approximately $85 billion in orders for the offering, according to a Bloomberg report cited by Yahoo Finance — making the sale more than triple oversubscribed. The bonds carry investment-grade ratings.
According to CNBC, Nvidia filed with the SEC on Monday, confirming it was entering the bond market for the first time in roughly five years. The Australian Financial Review reported the figure could reach as high as $35 billion as the deal was being finalized.
The proceeds are intended to fuel continued AI chip production and expansion, according to International Business Times. According to Invezz, investment-grade bonds give Nvidia cheaper, longer-duration funding to keep pace with its annual AI chip refresh cycle.
The Wall Street Journal, as cited by Moomoo, noted that the jumbo bond sale helped prop up Treasury yields — a sign of just how large the transaction is relative to broader markets. Separately, CNBC host Jim Cramer raised questions about whether the proceeds might fund share buybacks.
Nvidia's stock climbed on the news, with Investor's Business Daily noting the company retook a key technical price level as the offering was announced.
The deal matters because it signals that even the world's most valuable chipmaker — flush with AI revenue — sees value in locking in low-cost debt now, and that bond investors remain deeply confident in the AI infrastructure buildout showing no signs of slowing.