Overview
- Blackstone has committed roughly $9 billion to the subordinated tranche of Anthropic’s Project North Star and is reported to receive about a 10% coupon on that debt.
- Project North Star is a roughly $60 billion plan to fund Google TPU purchases and rentals split into about $42 billion of senior debt and $18 billion of subordinated debt with Broadcom providing residual-value support for the senior tranche.
- Anthropic’s disclosed results show rapid revenue growth alongside very large losses, with H1 net losses above $80 billion driven mainly by an approximately $72 billion accounting charge tied to financing instruments.
- The company has delayed its planned IPO to present third-quarter results while investors lower prior $2 trillion valuation hopes toward roughly $1.4 to $1.5 trillion.
- The high yield on the subordinated debt and heavy capital needs underline how costly large AI compute plans have become and could reshape investor appetite for big AI listings and compute lenders.