Anthropic debt priced at junk after Blackstone reverses investment-grade guidance
Anthropic’s junior‑tranche debt is now priced at speculative‑grade yields above 10 % after Blackstone told investors on Oct 30 that the company should expect a “high double‑B” rating from Moody’s, S&P and Fitch, reversing earlier guidance that it would achieve investment‑grade status by year‑end 2026. The disclosure also revealed that Kroll Bond Rating Agency (KBRA) had assigned Anthropic a BB+…
Key points
- Anthropic's junior debt priced above 10% after Blackstone reversed investment‑grade guidance to a high double‑B rating.
- Project North Star’s $18B junior tranche, anchored by Blackstone’s $9B, yields >10%, while the $42B senior tranche is backed by Broadcom’s A‑minus guarantee.
- The $518B+ compute commitment could push interest costs into the hundreds of billions if future tranches remain junk‑rated.
The $63 B Project North Star deal closed Oct 26 with an $18 B junior tranche that Blackstone anchored with $9 B of its own funds and was priced at yields exceeding 10 %, up from roughly 8.5 % on a comparable tranche six months earlier. The senior tranche of more than $42 B is issued against Broadcom’s A‑minus guarantee, making it eligible for institutional buyers that cannot touch the junior piece. The credit structure launders Anthropic’s junk credit through Broadcom’s investment‑grade balance sheet.
Anthropic’s disclosed $518 B+ compute commitment extending to 2045 means that if future tranches remain junk‑rated, the cumulative interest cost premium could reach the hundreds of billions of dollars. The shift also coincides with a contraction in OpenAI’s fundraising round, suggesting institutional capital is tightening its AI premium and recalibrating the terms it accepts for frontier AI projects.
Anthropic Debt Now Priced at Junk After Blackstone Reverses Investment-Grade Guidance
techtimes.com · 2 November 2026
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