(Il Sole 24 Ore Radiocor) – Milan, 03 Oct – OpenAI has obtained a revolving credit line of 4 billion dollars from major financial institutions such as JPMorgan Chase, Citi, Goldman Sachs, Morgan Stanley, Santander, Wells Fargo, Smbc, Ubs and Hsbc. This deal brings the company’s overall liquidity to over $10 billion. The credit line has a base of 4 billion, with the possibility of increasing it by another 2 billion, and will remain available for a period of three years. According to information gathered by CNBC, the loan is unsecured and the interest rate applied will be equal to the Sofr rate (currently above 5%) plus 100 basis points, which means that OpenAI will pay around 6% on the borrowed funds . This funding comes after a fundraising round that valued OpenAI at $157 billion and during which it raised $6.6 billion from a large group of investors. These include Thrive Capital, which invested 1 billion, Microsoft, Nvidia, SoftBank, Khosla Ventures, Altimeter Capital, Fidelity Management & Research Company, Mgx and Tiger Global. The new funds will allow OpenAI to expand its infrastructure, invest in research and development of new products, as well as attract new talent to support growth. In a blog post, OpenAI highlighted the importance of the financial flexibility offered by this agreement, which will allow the company to operate nimbly as it expands. It also strengthened its relationships with participating financial institutions, many of which are also OpenAI customers.
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(RADIOCOR) 03-10-24 16:47:55 (0552) 3 NNNN
(END) Dow Jones Newswires
October 03, 2024 10:48 ET (14:48 GMT)
