Waymo Upsizes First Private Debt Offering to $5 Billion
Waymo increased its first private debt offering to $5 billion to fund autonomous vehicle expansion in the United States, Japan, and Singapore.
Waymo, the autonomous vehicle unit of Alphabet Inc., has increased its first private debt offering to $5 billion to support capital-intensive expansion in domestic and international markets. The loan facility, priced at 5.25 percentage points above the benchmark rate, was arranged by Goldman Sachs Group Inc. and secured commitments from private credit investors including Blackstone Inc., Pacific Investment Management Co., and Sixth Street Partners.
This move marks a strategic shift in capital management for the company, which previously relied on equity financing. Earlier this year, Waymo raised $16 billion at a valuation of $126 billion. The new debt funding will help the company manage rising costs associated with artificial intelligence and fleet procurement.
Waymo is using the capital to broaden its operational presence across the United States and prepare for entry into Asian markets, specifically Japan and Singapore. The company has set a target to reach 1 million paid rides weekly within the current year.
