Meta launches $35 billion stock offerings for AI investment

Meta Platforms has launched stock offerings totaling about $35 billion as it seeks to finance investments in artificial intelligence and computing infrastructure, while outlining a separate share-sale program that could raise up to $60 billion but is not yet agreed or assured. The current offerings comprise about $22.5 billion in Class A common stock and roughly $12.5 billion in depositary shares representing mandatory convertible preferred stock. Meta said it intends to use proceeds from the preferred-share offering for general corporate purposes. The dividend rate and conversion terms for those shares will be set when the offering is priced. The Class A offering uses forward sale agreements. Meta does not expect to receive proceeds from that sale initially, and said it will collect the money as the agreements settle on one or more dates on or before November 19, 2027. Meta also disclosed plans for a possible at-the-market program to sell up to about $60 billion in nonvoting Class C stock after the shares begin trading. The company has not entered into an agreement or determined the program’s terms, size or timing, and said there is no assurance it will be established. It is...