Meta seeks up to $95 billion in stock sales to fund AI buildout
The Facebook parent is issuing new shares for the first time since 2013. Nvidia, AMD and Broadcom have expressed interest in buying up to $5 billion.
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Meta Platforms plans to raise up to $95 billion by selling new shares to fund its artificial intelligence infrastructure. It launched public offerings of about $35 billion in common stock and mandatory convertible preferred stock on Monday, led by Morgan Stanley and Goldman Sachs. A further at-the-market program of up to $60 billion is planned from the first quarter of 2027, once newly created non-voting Class C shares begin trading. According to financial site TipRanks, it is Meta's first new stock issuance since 2013.
Chipmakers Nvidia, AMD and Broadcom have expressed interest in buying up to $5 billion of the shares, Meta said. "AI is creating significant opportunities for Meta across its core business and new products and services," the company said.
The raise follows soaring spending: Meta expects 2026 capital expenditures of $135 billion to $145 billion and has about $825 billion in future spending commitments, mainly for data centers. Third-quarter free cash flow was negative $2.12 billion, its first negative quarter in more than a decade, even as revenue rose 26% to $64.6 billion.