The tech giant secures a delayed-draw term loan as part of a $200 billion 2026 capex plan focused on AI infrastructure.
Amazon arranged a $17.5 billion senior unsecured term loan facility, structured as a delayed-draw agreement allowing funds to be accessed as needed. The facility matures in 2026 and carries floating interest rates tied to SOFR or base rate, with margins up to 0.875% based on credit ratings.
The loan supports Amazon’s $200 billion capital expenditure plan for 2026, primarily targeting AI infrastructure. First-quarter capex surged to $44.2 billion, up from $25 billion year-over-year, reflecting accelerated spending on data centers and custom chips.
The announcement follows a 10% drop in Amazon shares after the $200 billion capex disclosure in February, signaling investor caution over near-term profitability.