Meta to raise up to $95 billion in new stock to pay for its AI buildout
Meta announced on Monday, October 26, 2026 that it will raise up to $95 billion by selling new stock to pay for AI data centers and its superintelligence program. The first tranche is about $35 billion, made up of $22.5 billion of Class A common stock sold through forward sale agreements settling on or before November 19, 2027, and $12.5 billion of mandatory convertible preferred stock, to be listed as METAM, converting into common stock around August 15, 2029. A further program of up to $60 billion would sell the new non-voting Class C shares on the open market, starting no earlier than the first quarter of 2027; that program is not yet set up and carries no commitment to sell. Nvidia, AMD, and Broadcom have indicated non-binding interest in up to $5 billion of the shares combined.
The raise reverses years of buybacks: Meta spent $26.3 billion repurchasing stock in the first nine months of 2025 and nothing in the same period of 2026, while capital spending rose from $48.3 billion to $83.1 billion, third quarter free cash flow was negative $2.12 billion, and the 2026 capital spending guide stands at $135 billion to $145 billion. At the October 23 closing price, the full $95 billion would be about 148 million new shares, roughly 5.8 percent dilution, and the Class C shares carry no votes, so founder voting control is unchanged.