Four financial partners announce $63 billion Broadcom compute financing

Bank of America, Blackstone, Citi and Morgan Stanley announced a $63 billion transaction on 26 October to finance Broadcom compute equipment for lease to Anthropic, Broadcom said in a release issued from New York, Charlotte and Palo Alto.

The $63 billion vehicle and its lenders

The four financial partners said committed financing will go to a newly formed special purpose vehicle for the equipment purchases. That vehicle will acquire Broadcom XPU AI accelerators and networking solutions, then lease them to Anthropic. The structure puts the equipment purchase in the vehicle rather than with the company that will use the compute capacity.

Bank of America, Citi and Morgan Stanley are arranging the first-lien part of the financing, the partners said. Blackstone is the only provider of the committed second-lien part. Those are different positions in the financing, and the announcement assigns the banks and Blackstone separate roles rather than describing a single loan from all four institutions.

Broadcom said it is providing residual-value support to the vehicle in an amount equivalent to the first-lien financing. The support links Broadcom to the value of the equipment beyond its role as supplier. It is tied to the first-lien amount, rather than stated as the full $63 billion transaction value.

Jon Gray, Blackstone’s president and chief operating officer, described financing compute capacity at scale as an opportunity created by AI demand. Hock Tan, Broadcom’s president and chief executive, said the transaction reflected his view that capital was available to fund further compute growth. Both comments accompanied the partners’ announcement of the financing structure.

Earlier Broadcom and Anthropic financing

The announced $63 billion transaction follows AI Affairs’ earlier report of Blackstone and banks gathering $60 billion for Broadcom chip financing. The new announcement names the lead financial partners and sets out how the equipment will be bought and leased.

AI Affairs also reported that Anthropic offered Blackstone more than 10% yield on chip debt. The yield belonged to that earlier report. The new announcement identifies Blackstone’s place in the financing as the sole provider of its committed second-lien portion.

A separate AI Affairs report covered Broadcom’s agreement to lend Anthropic up to $42 billion for chip infrastructure. In the transaction announced on 26 October, Broadcom’s stated financial role is residual-value support for the new vehicle, measured against the first-lien portion.

Broadcom equipment and 2027 deliveries

Kirkland & Ellis is acting as Blackstone’s legal counsel, while Latham & Watkins represents Bank of America, Citi and Morgan Stanley, according to Broadcom. Sullivan & Cromwell is Broadcom’s legal counsel, and Evercore is its financial adviser.

The equipment purchases sit within a strategic compute capacity agreement that Broadcom had announced previously. Under the financing plan, the vehicle will buy both the XPU accelerators and networking solutions for Anthropic’s lease, bringing Broadcom’s hardware and the four partners’ financing into the same transaction.

Broadcom expects deliveries under that strategic compute capacity agreement to begin in calendar 2027.