Meta plans up to $95 billion in stock sales to fund its AI buildout
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Meta is planning to raise up to $95 billion through new stock sales to finance its artificial intelligence infrastructure expansion. Approximately $22.5 billion will be generated from the sale of Class A common shares, while an additional $12.5 billion will come from depositary shares representing preferred stock that converts to common equity in August 2029. The remaining $60 billion is expected to be raised through open market sales of newly introduced Class C shares, which are anticipated to begin trading no earlier than the first quarter of 2027. These Class C shares carry no voting rights, a strategic move designed to allow Meta to raise capital without diluting CEO Mark Zuckerberg's existing control over the company. Currently, Zuckerberg controls most of the Class B shares, which hold ten votes each, compared to the single vote attached to Class A shares. Major technology firms including Nvidia, AMD, and Broadcom have expressed non-binding interest in purchasing up to $5 billion worth of Meta stock. This financial maneuver highlights the significant capital requirements for Meta's ongoing AI buildout efforts.
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