Jun. 5 at 1:42 AM
Moody’s Ratings said Alphabet’s
$84.75 billion equity raise is credit positive, as the proceeds will help fund AI infrastructure, global computing capacity expansion, and other corporate purposes without increasing debt.
The financing package includes about
$34.75 billion in public offerings, a
$40 billion at-the-market share program, and a
$10 billion private placement with Berkshire Hathaway. Moody’s said the move strengthens Alphabet’s financial profile by funding major investments through equity rather than borrowing, helping preserve its strong balance sheet and disciplined financial policies.
Despite a sharp increase in capital spending driven by AI, Moody’s expects Alphabet’s leverage to remain around 0.7x this year, supported by robust operating cash flow generation. The agency noted that the transaction highlights a broader shift among large technology companies toward higher capital intensity as they invest heavily in AI and computing infrastructure.
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