Anthropic is offering Blackstone returns above 10% to help finance a USD 60 billion purchase of artificial intelligence chips, the Financial Times reported, citing people familiar with the discussions. The proposed deal, called Project North Star, would fund about 1.5 gigawatts of Google's custom tensor processing units. It could become the largest chip financing arrangement on record.
The terms come as AI developers seek more computing power while lenders demand higher returns on infrastructure debt. The plan includes two separate debt tranches.
Blackstone Offered Double-Digit Returns on Junior Debt
Sources expect Blackstone-managed funds to provide USD 9 billion in junior debt. That amount covers half of Project North Star's planned USD 18 billion junior financing. Anthropic's chip lease payments over five years would support the borrowing.
The offer includes a 10% coupon, while discounts and fees would lift investors' total yield above 10%. By comparison, borrowers with similar credit ratings generally face yields near 7% in public bond markets. That puts the proposed coupon about three percentage points above the public market benchmark.
Anthropic plans to offer the other USD 9 billion of junior debt to investors in the coming months. Those investors could receive lower yields than Blackstone, according to the report. The structure leaves a second portion of the financing awaiting commitments.
The wider package also includes about USD 42 billion of senior debt. Broadcom, which works with Google to develop chips, would guarantee that portion. Together, the senior and junior tranches account for the planned USD 60 billion financing.
Project North Star Follows Earlier Anthropic Borrowing
The proposal follows Project Big Sky, another Anthropic financing arrangement. Through that deal, the company raised around USD 4.4 billion at an 8.5% interest rate four months earlier. The new terms carry a higher borrowing cost.
That increase comes amid concern over the amount of money flowing into AI infrastructure. Investors have sought more compensation for lending to companies that need large amounts of computing capacity. The latest proposal shows how those demands affect Anthropic's financing terms.
In June, credit rating agency KBRA placed Anthropic one notch below investment grade. Sources expect the proposed junior debt to receive a similar assessment. Anthropic wants an investment-grade rating to reduce its future borrowing expenses.
Can Anthropic bring down its borrowing costs while continuing to secure large amounts of chip capacity? For now, the Project North Star proposal offers investors a higher yield than its earlier deal.
The new securities could enter the institutional 144A bond market after the financing draws down in 2027. Its potential market entry would follow the scheduled drawdown rather than the initial proposal.
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Anthropic Faces IPO Questions Over AI Safety
Separate from its borrowing plans, Anthropic has faced calls to delay its initial public offering. New York City Comptroller Mark Levine sent a letter to Chief Executive Officer Dario Amodei on Wednesday.
Levine urged Anthropic to pause the listing process until it fully and transparently addresses AI safety and governance concerns. He also called last month's safety accord with the Trump administration and AI companies insufficient.
Anthropic opened communication with Levine earlier this week. During a Bloomberg Television interview on Friday, he said the company faced pressure from several directions. He did not describe the discussions with Anthropic.
Levine also warned that a serious AI safety incident after a public listing could damage Anthropic's stock. He argued that taking more time before an IPO would be preferable to proceeding without resolving those concerns.
As comptroller, Levine oversees New York City's finances and public pension funds holding more than USD 325 billion in assets. Some of those pension funds invest in index-tracking funds. Levine said he expects those indexes to add Anthropic after a listing, creating potential exposure for the funds.
Conclusion
Anthropic's proposed USD 60 billion Project North Star financing offers Blackstone more than 10% in returns on junior debt. Broadcom would guarantee the senior portion, while Anthropic seeks stronger credit standing. Meanwhile, New York City's comptroller is calling for an IPO delay over unresolved AI safety and governance concerns.