Sep. 2 at 8:12 PM
Waymo is close to securing its first debt financing, with Pacific Investment Management Co. and other lenders prepared to provide more than
$3 billion to Alphabet’s autonomous-driving unit, Bloomberg reported Wednesday.
Blackstone and Sixth Street Partners are also participating in the loan, which is unrated and could carry a spread of more than 500 basis points over the benchmark rate. Goldman Sachs is advising Waymo, and the deal could close within days, although terms may change as negotiations continue.
Waymo has so far relied on equity financing, raising
$16 billion earlier this year at a
$126 billion valuation. The shift toward debt comes as the company expands its driverless vehicle fleet and faces rising AI-related costs. Last month, Waymo announced a custom chip aimed at improving robotaxi performance and is targeting 1 million paid weekly trips across 20 cities worldwide this year.
$GOOGL $BX