AI-linked companies fuel a surge in convertible debt sales, doubling year-over-year issuance to $34 billion in early 2026.
U.S. convertible bond issuance reached $34 billion in the first four months of 2026, more than double the same period last year. The surge is driven by companies tied to artificial intelligence, which are using the debt to fund data centers, power infrastructure, and cloud expansion.
The pace puts the market on track to exceed 2025’s full-year record of over $120 billion. Roughly half of this year’s issuance is linked to AI, reflecting both corporate funding needs and strong investor demand. Large deals include Oracle’s $5 billion raise and CoreWeave’s $4 billion offering.
Refinancing of pandemic-era debt is also contributing to the record issuance, alongside capital expenditure for AI-related projects. Power companies and chipmakers, such as NextEra Energy and On Semiconductor, have tapped the market for billions.