Insider Brief
- Meta is lining up as much as $95 billion in equity financing to support its AI infrastructure buildout, with Nvidia, AMD and Broadcom indicating interest in buying up to a combined $5 billion of the initial stock offering.
- The financing plan includes about $35 billion in concurrent public offerings plus a planned $60 billion at-the-market program involving Meta’s new Class C shares, which could begin in the first quarter of 2027.
- Meta expects $135 billion to $145 billion in 2026 capital spending and is building four AI superclusters with more than one gigawatt of capacity each as it works to nearly double infrastructure capacity this year.
Meta is lining up as much as $95 billion in equity financing to help fund its expanding AI infrastructure buildout, with the company saying Nvidia, AMD and Broadcom indicating interest in buying up to a combined $5 billion of the initial stock offering.
According to Meta, the financing plan includes about $35 billion in concurrent public offerings — roughly $22.5 billion of Class A common stock and $12.5 billion of depositary shares tied to mandatory convertible preferred stock — plus a planned $60 billion at-the-market program involving its new Class C shares. The ATM program could begin in the first quarter of 2027, although Meta said it has not yet established the program and its final timing and terms remain undetermined.
Meta expects capital expenditures of $135 billion to $145 billion in 2026. The company said it generated $97 billion in operating cash flow during the first three quarters of the year and ended the third quarter with about $82 billion in cash, cash equivalents and marketable securities. It plans to fund its AI buildout through a mix of operating cash flow, debt, partnerships and equity.
The company owns data centers in 23 U.S. states and is building four AI superclusters with more than one gigawatt of capacity each. Meta said it remains on track to nearly double its total infrastructure capacity this year compared with 2025.
The common-stock portion of the financing will use forward-sale agreements with Morgan Stanley and Goldman Sachs, meaning Meta does not expect to receive the proceeds immediately. The company can settle those agreements through future share issuance on dates running through November 2027.
Meta also plans an at-the-market program allowing it to sell up to $60 billion of its new Class C stock over time, potentially beginning in the first quarter of 2027. The company cautioned that the program has not yet been established and its final timing and terms remain undetermined.
