Amazon Enters Sterling Bond Market with £5.5 Billion Debt Offering

Amazon has made its first foray into sterling bonds by selling £5.5 billion in debt, marking another step by major technology companies to expand their borrowing across different currencies.

The move is aimed at funding artificial intelligence infrastructure investments, with these companies issuing over $200 billion in debt this year, more than double the amount raised in 2022, according to LSEG data.

Amazon set initial price guidance at approximately 70 basis points above the market rate for six years, around 90 basis points over for 12 years, and about 110 basis points over for 19 years.

This is the latest currency Amazon has added to its funding program after previously accessing US dollar and euro bond markets.