Meta Raises Planned Equity Funding to $97.5 Billion

Meta Platforms has increased its planned equity fundraising to $97.5 billion to finance its artificial intelligence infrastructure expansion, Reuters reported. Nvidia will invest $3 billion in Meta’s equity offering, according to the supplied report.

The fundraising includes $25 billion in Class A common stock at a reference price of $625 per share and a separate $12.5 billion preferred-share offering. The preferred shares carry an annualised dividend of 6.50% and are scheduled to convert automatically on August 15, 2029.

Nvidia and Other Chipmakers Participate

Meta and Nvidia will expand their collaboration on Meta’s Muse AI assistant and AI models. AMD and Broadcom had previously indicated non-binding interest in purchasing up to $5 billion of Meta shares combined.

Morgan Stanley and Goldman Sachs are the joint lead bookrunners for the offerings. The two offerings are independent, and neither is conditional on the other closing.

Goldman Sachs is also involved in other major AI transactions. Bloomberg reported that the bank co-led Meta’s share offering and structured a $40 billion SpaceX chip-financing deal.

Musk Pursues Potential Tesla–SpaceX Merger

Separately, Elon Musk wants to complete a potential Tesla–SpaceX merger before US President Donald Trump leaves office, Bloomberg reported, citing people familiar with the matter.

Musk described a merger as “a good idea” during SpaceX’s October 20 earnings call. Both companies have formed special committees to examine the proposal, but Tesla shareholder approval remains a major hurdle.