MW CoreWeave upsizes bond deal for additional $1 billion. AI debt is in vogue.

By Christine Ji

CoreWeave expanded its high-yield bond offering to $2.75 billion on Thursday after outsized investor and customer demand

CoreWeave's contracted revenue has swelled following contracts with Meta, Anthropic and Jane Street.

After signing a slew of new artificial-intelligence deals, CoreWeave returned to the debt markets on Thursday morning to secure additional funding for its business expansion.

CoreWeave (CRWV) announced that it has successfully finalized a $1 billion tap issuance of its 9.75% senior unsecured high-yield notes - meaning that the company is selling more of an existing bond series. Last week, the company announced $1.75 billion of senior notes due in October of 2031. Thursday's capital raise brings the total size of the senior notes offering to $2.75 billion.

The decision came as a result of what a CoreWeave spokesperson characterized as "overwhelming demand" for CoreWeave's high-yield notes.

The $1 billion add-on is the latest part of CoreWeave's strategy to tap various avenues of institutional capital. On Wednesday, the company entered an agreement to provide quantitative trading firm Jane Street with $6 billion of compute. Jane Street also made a $1 billion equity investment in CoreWeave's stock.

Read: CoreWeave sees a $7 billion win from an unconventional customer. Financial firms want AI chips, too.

Insatiable demand for compute has boosted CoreWeave's revenue backlog and sent the stock up 66% since the beginning of the year.

On the debt side, Thursday's $1 billion add-on isn't the first instance of CoreWeave increasing the scale of its offerings to capture interest from investors. CoreWeave's high-yield tap follows the closing of a $4 billion convertible senior note offering earlier this week. Originally targeted at $3 billion, the deal was upped to $3.5 billion before underwriters fully exercised a $500 million "greenshoe" - an over-allotment option that allows banks to sell additional notes beyond the initial offering when investor demand exceeds supply.

In March, the company issued a landmark $8.5 billion delay-draw term loan. The loan marked the first AI infrastructure loan to achieve an investment-grade rating, and was collateralized by graphics processing units and investment-grade customer contracts. The loan, financed at 2.25 percentage points above the SOFR benchmark, carried an effective all-in interest rate of less than 6% and "unlocked a significantly lower cost of capital," a CoreWeave spokesperson said.

More: CoreWeave's stock rises as investors cheer unique financing deal

Big Tech companies are also taking on debt to fund their AI buildouts. In March, Amazon.com (AMZN) announced plans to raise up to $42 billion in bonds. That was one of the largest corporate offerings ever. Amazon joined the ranks of other hyperscalers such as Meta Platforms (META), Alphabet $(GOOGL)$ $(GOOG)$ and Oracle $(ORCL)$ that issued jumbo bonds in recent months.

Read on: Amazon joins Meta, Google in jumbo bond club with up to $42 billion issuance

CoreWeave's fundraising initiatives will help the company fulfill contracted demand from its customers, which has soared in recent weeks. Last week Meta committed an additional $21 billion to its CoreWeave partnership, and Anthropic signed on as a new customer of CoreWeave. "This is all about accelerating growth, allowing us to directly invest in supporting our customers' growth as well," the spokesperson told MarketWatch.

While CoreWeave has received criticism for its debt load, the company has pushed back against concerns of unsustainable financing by highlighting the demand-driven nature of its borrowing. CoreWeave reported a revenue backlog of $66.8 billion at the end of 2025, and its recent deals appear to have boosted that metric to over $90 billion.

-Christine Ji

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April 16, 2026 07:22 ET (11:22 GMT)

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