The Wall Street Journal (Oracle/Broadcom) & Financial Times (SpaceX), corroborated by Data Center Dynamics · 2026-10-08
Oracle, Broadcom and SpaceX Seek Blockbuster Private Debt Deals to Buy AI Chips — WSJ/FT
Oracle is in talks with Apollo Global Management and Goldman Sachs to arrange off-balance-sheet chip financing (structured so debt sits in a special-purpose vehicle, not on Oracle's own books — critical given its 2066 bond already yields ~8.45%). SpaceX is separately pursuing ~$40B comprising ~$10B bank loans and ~$30B investment-grade bonds to buy Nvidia chips, with Apollo expected to lead and PIMCO among anchor investors. Both deals signal that public bond markets are at capacity for AI-capex financing, forcing a structural pivot to private credit — a watershed credit-market stress indicator for the sector.
Yahoo Finance / Reuters, citing WSJ report · 2026-10-08
Oracle Stock Falls 5% as Market Reacts to New Debt-for-Chips Plan and OpenAI Revenue Miss
Oracle shares fell 5% after the WSJ reported yet another large off-balance-sheet debt structure, compounding existing credit concerns: the company carries $169.1B of total debt against only $67.2B of equity (71.6% debt-to-equity), its 2066 bond trades at ~81 cents on the dollar yielding 8.45%, and capex hit $28.5B in a single quarter (Q1 FY27). The stock is down ~30% YTD. The combination of a stretched balance sheet, rising yields on existing paper, and a new round of chip-financing debt makes Oracle the most acute credit-stress name among the listed issuers.
Benzinga / TradingView Bond Screener, data as of Oct. 5, 2026 · 2026-10-05
SpaceX Joins Oracle Above 7.5% Yield as 121 Hyperscaler Bonds Now Pay Over 6% — Credit-Market Stress Broadening
As of Oct. 5, TradingView's bond screener shows 121 U.S.-listed bonds from AI-capex issuers (Oracle, Meta, Amazon, Alphabet, Microsoft, SpaceX) yielding above 6% to maturity — with Oracle and SpaceX the only two above 7.5%. SpaceX's 2046 bond (6.60%) yields 7.84% and its 2056 bond (6.65%) yields 7.67%, reflecting the market's pricing of its $39.7B debt load and the proposed $40B new chip-financing. The 10-year Treasury at 5.27% means IG spreads are widening across the cohort, a structural signal that the bond market's appetite for AI-infrastructure paper is tightening materially.