Amazon raises C$14B in record Canadian dollar bond to fund AI infrastructure
What's the deal? AmazonDealroom has a profile for this one. Try Dealroom → is raising C$14 billion (roughly $10 billion) in Canadian dollar bonds — the largest corporate bond sale ever in that currency. The five-tranche offering, with maturities from three to 30 years, smashes the C$8.5 billion record AlphabetDealroom has a profile for this one. Try Dealroom → set just a month ago. JPMorgan, Royal Bank of CanadaDealroom has a profile for this one. Try Dealroom →, Bank of Nova Scotia, and Toronto-Dominion BankDealroom has a profile for this one. Try Dealroom → are running the deal.
Pricing on the longest tranche tightened by 5 basis points to 1.10 percentage points above Canadian government bonds, signalling strong investor appetite. Proceeds go to general corporate purposes — but the real driver is AI infrastructure.
Why now? Amazon is on a global debt tour of historic proportions. Since the start of 2025, it has raised more than $70 billion across currencies: a $37 billion US dollar deal in March, a €14.5 billion euro offering shortly after, and its first Swiss franc bond in May (CHF 2.82 billion). The Canadian dollar market was simply the next one large enough to absorb the demand.
The spending behind all this borrowing is staggering. Amazon is expected to pour close to $200 billion into data centres, chips, and related infrastructure this year — up from roughly $83 billion in 2024 and $125 billion in 2025. Bloomberg Intelligence analysts say Amazon's rapid return to bond markets suggests its 2027 AI investment trajectory is meaningfully higher still.
What could go wrong? Amazon's credit position looks solid for now — about $100 billion in free cash flow in fiscal 2025, and AWS operating margins above 30%. But the sheer scale of borrowing raises questions about how long these balance sheets can stretch.
The five largest hyperscalers — Amazon, Alphabet, Microsoft, Meta, and Oracle — issued $121 billion of corporate bonds in 2025 alone, versus a $28 billion annual average between 2020 and 2024. UBSDealroom has a profile for this one. Try Dealroom → estimates the sector may need to borrow $230–240 billion in 2026. Morgan StanleyDealroom has a profile for this one. Try Dealroom → and JPMorgan project the group could require as much as $1.5 trillion in additional debt over the coming years to sustain the AI build-out.
The signal: That three of the four bookrunners — Royal Bank of Canada, ScotiabankDealroom has a profile for this one. Try Dealroom →, and Toronto-Dominion Bank — are Canadian corporate investors underscores how domestic banks are positioning themselves as gatekeepers to one of the last deep pools of untapped investment-grade demand. With hyperscaler bond issuance jumping from a $28 billion annual average to $121 billion in 2025 alone, every large currency market is becoming a strategic financing venue — and the institutions that control access are set to extract growing fees from AI's debt-fuelled expansion.
Read more: The Next Web
Image: Amazon Spheres, Seattle — SounderBruce, CC BY-SA 4.0.
