CoreWeave Heralds New AI Borrowing Frontier With GPU-Backed Loan

CoreWeave Inc. launched a first-of-its kind leveraged loan deal on Thursday backed by customer contracts for microchips from firms including OpenAI, opening a new front in the borrowing binge to finance the buildout of artificial intelligence infrastructure.

While the $3.1 billion offering marks CoreWeave’s fifth so-called GPU financing — named for the graphics processing units that back the loans — the previous transactions were private and only open to a handful of investors. This one, led by Morgan Stanley and Mitsubishi UFJ Financial Group Inc., will be broadly syndicated, significantly expanding the potential investor base and allowing for trading.