Alphabet Raises Record $5.5B in Aussie Dollar Bond Issue

Alphabet has made its first foray into the Australian dollar debt market, raising $5.5 billion in a bond issue that saw bids from investors worth more than $18 billion.

The US tech giant issued four-year, five-year, ten-year, and twenty-year bonds with a coupon rate of 6.9 per cent on the longest tenor bond tranche.

This move is part of a growing trend among global technology companies to tap into capital markets to fund their massive AI spending, which is expected to reach over $730 billion this year.

Alphabet has become the first AI hyperscaler to issue bonds in Australian dollars and the first US large-cap tech company to do so since Apple in 2016.