Alphabet mulls over Singapore, HK bond sale as AI fears fuel volatility

Alphabet has issued notes in Australian dollars, Swiss francs, British pounds, Canadian dollars and Japanese yen in 2026.

SINGAPORE – Alphabet has had talks recently about potentially offering its first Hong Kong and Singapore dollar bonds, people familiar with the matter have said, a deal that may test investor appetite in Asia after an AI sell-off in global markets.

The Google parent has spoken with banks and investors about a debt sale, the people said, asking not to be identified discussing private matters.

The company is said to be looking to raise the equivalent of US$1 billion (S$1.28 billion) to US$1.5 billion in Hong Kong dollars and around US$1.5 billion in Singapore dollars. Proceeds would be used for general corporate purposes.

Global hyperscalers have been broadening their search for debt financing to markets they have never before tapped as they seek more cash for AI projects.

Alphabet sold its first Australian dollar bonds in August and has also issued notes in Swiss francs, British pounds, Canadian dollars and Japanese yen in 2026.

The latest potential sale comes as investors worry about increased scrutiny of AI-related projects after Democratic gains in the US midterm elections.

Credit spreads for some technology issuers have widened, hastening a repricing already under way in the global debt market, where a borrowing binge fuelled by the AI boom has pushed up yields.

Alphabet said it does not comment on market speculation, in response to a request for comment.

Alphabet and other hyperscalers, including Microsoft, Amazon.com and Meta Platforms, have been borrowing at a record pace while simultaneously committing tens of billions of dollars to build AI capabilities.

Just last week, Alphabet raised €6 billion (S$8.6 billion) through a multi-tranche euro bond sale, its second offering in the currency in 2026. The company paid materially higher borrowing costs than in its inaugural euro deal in May as concerns over the pace of AI spending rose. BLOOMBERG