The planned sale

Microsoft planned to raise about $25 billion through a US investment-grade bond sale reported on Thursday 29 October 2026, its first such US sale in more than nine years. The offering had gathered more than $100 billion of orders, over four times the size of the offering, according to a source cited by Reuters.

The debt was being sold in as many as 10 tranches, with maturities ranging from 2 to 40 years, Bloomberg reported. No final decision on size had been made and it could change with demand. Wells Fargo, JPMorgan Chase and UBS were managing the offering, according to Bloomberg's report.

What Microsoft confirmed

Microsoft pointed Reuters to a regulatory filing confirming the bond sale without disclosing its size, and the banks declined to comment. The sale comes as Microsoft spends heavily on data centres and artificial intelligence infrastructure.

Microsoft disclosed data-centre and equipment spending, including leases, of $45.2 billion in the three months to September, while free cash flow fell 27% to $18.6 billion in the same period. Microsoft expects to keep generating positive free cash flow in its current fiscal year running through June 2027.

The scale of demand, at more than four times the size of the offering, underlines how keen investors remain for highly rated corporate debt, even as technology companies borrow heavily to fund data-centre expansion. Microsoft last tapped the US investment-grade market more than nine years ago, making the return a notable moment for the bond market as well as for the company.

Sources: Reuters