Anthropic Offers Blackstone 10% Yield on $60B AI Chip Loan

Anthropic has proposed a junior debt arrangement called Project North Star to finance its $125.2B commitment to lease Google Tensor Processing Units, offering Blackstone a yield exceeding 10% to anchor the junior tier of a $60B total debt package arranged by Broadcom. The financing would be the largest chip financing in history, with Blackstone funds committing $9B of their own capital for half of an $18B Class B junior tranche and syndicating the remainder, while banks lead a $42B Class A senior secured tranche. Total returns for the debt top 10% once issuance discounts and fees are included, and the new debt can convert into shares.