Waymo Secures $3 Billion Debt Financing with Pimco and Blackstone
Waymo is raising over $3 billion in its first-ever debt deal, involving major investors such as Pacific Investment Management Co. (Pimco), Blackstone Inc., and Sixth Street Partners. The Alphabet-owned autonomous vehicle unit has partnered with Goldman Sachs on the transaction, which could be finalized within days but remains subject to change. Lenders are expected to receive a spread of more than 500 basis points above the benchmark rate, though the debt will not carry a credit rating. This move marks a shift for Waymo from relying primarily on equity financing—most recently securing $16 billion at a valuation of $126 billion—to accessing broader capital through debt. The strategy aligns with growth ambitions as it expands its driverless fleet and faces rising AI costs. Similar to Uber’s 2016 debut in the debt market, Waymo aims to diversify funding sources ahead of potential future milestones. Waymo is targeting one million paid rides per week across 20 cities by year-end and plans international expansion into London, Tokyo, and Munich—its first EU city—with commercial service expected by late 2027. The company also announced the rollout of fully driverless vehicles in four new U.S. markets.
