Meta has finalized a $29 billion financing package to build what will be one of the largest AI-focused data center hubs in the country, set in rural Louisiana. It’s an example of how capital markets are now treating AI capacity as critical infrastructure. This comes after Meta AI hired many OpenAI employees at high salaries.
Meta Data Hub on Debt
The financing breaks down into about $26 billion in debt and $3 billion in equity. PIMCO stepped in as the anchor underwriter for the debt, taking between $15 and $18 billion of the total. Their structure is built on investment-grade bonds, secured against the physical data center assets and long-term power purchase agreements. That’s essentially a way of locking in steady, predictable returns over decades, with the Meta AI hub viewed as a safe, high-quality yield play. Apollo Global Management and KKR were also in the final bidding stages and ended up taking part in the remaining debt allocation along with other co-investors.
Blue Owl Capital led the equity side with a $3 billion direct co-investment. By holding equity in the special-purpose vehicle that owns the land, buildings, networking systems, and power agreements, they gain exposure to the upside of AI-driven data demand growth. Equity takes on more volatility than debt, but the potential revenue from AI services over a 20–30 year horizon can make it worthwhile. This structure also means the project has a clear separation between the senior debt holders, who get paid first. Meanwhile, the equity holders benefit most if utilization grows faster than expected.
Morgan Stanley acted as lead financial advisor and placement agent for the bond issuance, structuring the deal, marketing it to global fixed-income investors, and managing syndication. The bonds come with investment-grade ratings in the A- to A3 range and maturities stretching two to three decades. Security comes in the form of first-lien claims on the SPV’s assets, backed by contracted power and connectivity agreements. Meta retains majority ownership, covers the operating expenses, and leaves the SPV to service the fixed financing costs.
Meta’s Shot at Two Decades
Looking at the broader picture, this deal signals just how much investor appetite there is for large-scale AI infrastructure. The Meta AI hub is expected to host multi-gigawatt clusters, purpose-built to support AI workloads that demand huge amounts of compute power. At $29 billion, it’s a long-term bet that AI will remain central to both enterprise operations and consumer-facing services. For major lenders, this isn’t a speculative venture capital. It’s a 20-plus year infrastructure play with the kind of scale and stability once reserved for pipelines, ports, or power plants. And for Meta, securing financing of this magnitude is a way to accelerate AI capacity. This would lighten the full weight on its balance sheet, while still keeping control over an asset designed to serve as a backbone for future AI services.
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