Alphabet (GOOGL) Prices the Largest Equity Capital Raise in US Corporate History at $84.75 Billion

Alphabet Inc. (NASDAQ:GOOGL) is one of the best growth stocks to buy according to billionaire Dan Loeb. On June 2, Alphabet Inc. (NASDAQ:GOOGL) priced and upsized its equity capital raise to $84.75 billion from $80 billion. The raise is now the largest in US corporate history, and Alphabet intends to use the proceedings to fund the buildout of AI infrastructure and global compute capacity.

Alphabet (GOOGL) Prices the Largest Equity Capital Raise in US Corporate History at $84.75 Billion

GongTo/Shutterstock.com

Alphabet detailed in a statement that it has structured the raise in three parts. The first is a $30 billion underwritten public offering split between common stock and mandatory convertible preferred shares, and the second is a $10 billion private placement anchored by Warren Buffett’s Berkshire Hathaway. The last part is a $40 billion at-the-market (ATM) program set to begin in Q3 2026.

On the public offering side, Alphabet priced 25.5 million Class A shares at $355.20 each and 25.5 million Class C shares at $351.80 each. It again priced 167.5 million Series A and Series B depositary shares at $50 each. The company upsized the Class A/C stock portion to $18 billion from $15 billion. It also increased the depositary share portion to $16.75 billion from $15 billion. Alphabet expects net proceeds from these two buckets to be approximately $17.8 billion and $16.6 billion, respectively.

Alphabet Inc. (NASDAQ:GOOGL) is a technology holding company. It operates Google Services, which provides search, advertising, and consumer software services, Google Cloud, and Other Bets, which includes businesses in healthcare, autonomous vehicles, and venture capital.

While we acknowledge the risk and potential of GOOGL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than GOOGL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 Best Fast Growth Stocks to Buy According to Hedge Funds and 15 Best AI Stocks Under $10 to Buy Now.

Disclosure: None. Follow Insider Monkey on Google News.

1281292 - 11759070 - 1