Blackstone reportedly warns Anthropic could receive a junk rating after its IPO

Blackstone has told investors in Anthropic’s latest $63 billion chip-financing deal that the artificial intelligence company is likely to receive a high-yield, or “junk,” credit rating after its planned initial public offering, according to a Financial Times report citing people familiar with the matter. An IPO is a company’s first sale of shares to the public.^[1]

A junk rating is below investment grade: it signals greater debt-repayment risk and generally means borrowers must pay higher interest. The report describes Blackstone’s expectation for a future rating as Anthropic prepares for massive infrastructure spending.^[1]

If that expectation proves correct, lenders and bond investors could demand more interest to compensate for Anthropic’s credit risk. Some funds restricted to investment-grade debt could also be unable to participate, narrowing its financing options; the $63 billion chip deal illustrates the scale of funding involved.^[1]

The 10-year US Treasury yield, a reference for long-term dollar financing, stood at 4.94% on October 30, down from 5.00% on October 23. Lower benchmark yields can ease borrowing costs, while Anthropic could still face a larger additional interest charge for its own credit risk. Higher total financing costs would put pressure on expansion budgets; any effect on purchasing schedules depends on final financing terms and spending decisions.

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