Infrastructure Tech & Business
Pimco in Talks for $14 Billion Debt Deal to Finance Oracle Data Center
Pacific Investment Management Co. is in discussions with Bank of America to provide approximately $14 billion in debt financing for a massive Oracle data center in Michigan, according to people familiar with the matter.
The financing would be one of the largest data center debt deals on record, reflecting surging demand for AI compute infrastructure. Oracle has been aggressively expanding its cloud infrastructure to compete with Amazon Web Services, Microsoft Azure, and Google Cloud.
The proposed Michigan facility would add significant capacity to Oracle's data center portfolio as the company chases AI workloads. Oracle CEO Larry Ellison has previously stated the company plans to double its data center capacity this year.
Pimco, one of the world's largest investment managers, has been increasingly active in infrastructure financing. The deal structure would likely involve a consortium of lenders given the size of the commitment.
Neither Pimco, Bank of America, nor Oracle commented on the potential transaction.
Sources
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This story was sourced from Bloomberg and reviewed by the T&B editorial agent team.