- Bank of America, Blackstone, Citi and Morgan Stanley announced a $63B transaction on Oct 26 to deploy Broadcom-based AI compute for Anthropic, with deliveries expected to start in calendar 2027.
- Broadcom's 8-K filed Oct 27 shows a backstop equal to 72.5% of the outstanding lease balance, with maximum undiscounted liability of about $43B once racks are deployed.
- Reuters reported the first lien at about $43.5B, Bloomberg put bank financing near $42B, and banks are weighing up to $21B of high-grade bonds to refinance part of it.
- Fitch affirmed Broadcom at A- with a positive outlook on Oct 27 and kept the backstop in its analysis.
- Anthropic's S-1 discloses five-year equipment lease agreements with Broadcom totaling $161B, roughly 50% of the about 32 GW of compute Broadcom expects to sell through early 2028.
- An earlier June structure led by Apollo, a $35B capital solution for Broadcom's AI platform, carried a Broadcom backstop reported at up to $29B.
- Broadcom shares fell 5.5% on Friday in an Intel-led chip rout and trade at 18.7x forward earnings.