Amazon Sells First Sterling Bonds, Borrowing Exceeds $92 Billion in 2026
September 9, 2026 – 1:57 pm
Amazon (learn more) founder Jeff Bezos, now executive chairman.
Amazon has opened books on its first sterling bonds, a four-part deal spanning from three to 19 years, adding another currency to a borrowing program that has already raised over $92 billion this year.
(Source: Reuters)
The sale was reported on Wednesday, with pricing expected later the same day. Initial guidance suggested:
- Three-year tranche: ~70 basis points over gilts
- Six-year tranche: ~90
- 12-year tranche: ~105
- 19-year tranche: ~110
Sterling is the fourth currency Amazon has added in 2026, following euros, Swiss francs and Canadian dollars.
Amazon’s Swiss franc issue, for instance, consisted of six tranches due to the same reason: each new currency attracts a fresh pool of buyers.
The spreads indicate that investors remain comfortable with these borrowings. A 70 basis point premium over gilts for three-year money from Amazon is standard, and the 110 basis point curve out to 19 years is familiar to lenders.
However, a crucial question arises: what happens when the same institutions are asked to absorb more debt?
The 19-year tranche is particularly significant as it tests investors’ willingness to extend duration for AI-related capital needs.
As Robert Schiffman and Suchi Trivedi from Bloomberg Intelligence note, "the mismatch is stark." While accelerators have a short life span (a few years), the bonds mature in 2045.
Amazon’s strong credit profile allows it to service debt across its entire business rather than asset-specific projects. Thus, this isn’t project financing tied to GPUs or similar hardware.
Still, investors are betting on Amazon remaining relevant and successful enough to honor these long-term obligations. UK pension schemes and insurers, major buyers of long-dated sterling bonds, are contributing to this financing.
This funding supports Amazon’s AI build-out, adding to the $350 billion in AI borrowing reported earlier this year that would ultimately impact Europe as well. Amazon’s total borrowing has since surpassed $225 billion.