Pimco Seeks Anchor Role in $16 Billion Oracle Campus Financing as AI Data Center Debt Booms
Updated
Updated · Bloomberg · Jul 27
Pimco Seeks Anchor Role in $16 Billion Oracle Campus Financing as AI Data Center Debt Booms
2 articles · Updated · Bloomberg · Jul 27
Summary
Pimco sought to become the anchor investor in financing for Oracle’s $16 billion data center campus in Michigan, according to people familiar with late-2025 discussions.
Dan Ivascyn wanted the deal structured as long-term bonds, aiming for higher yields while matching the debt’s duration to Oracle’s lease on the campus.
The approach shows Pimco is willing to commit billions to AI-linked data center projects despite the sector’s risks, betting that tailored debt structures can make the exposure attractive.
Why did Pimco insist on lease-matched bonds before backing Oracle’s $16 billion Michigan AI campus—and what does that reveal about hidden data-center risks?
Oracle’s giant Michigan data center is breaking ground, but can lease-matched financing protect investors if AI demand, power access, or credit conditions shift?