CoreWeave Credit Risk Hits Record as June Debt Reaches $35.6 Billion

CoreWeave’s credit risk has reached a record as the AI cloud company pursues new borrowing for data-center expansion, with about $35.6 billion in debt at the end of June. Yields on the company’s bonds maturing in 2032 and 2031 reached 14.8% and about 14.9%, respectively. Bond prices and yields move in opposite directions, so higher yields mean investors are demanding more return to hold the debt. A central concern is whether CoreWeave can turn contracted work into cash flow while financing its expansion. No default has been reported. On Oct. 14, CoreWeave shares fell 16%, while yields on its two bonds neared 15% . Cash-flow updates, refinancing activity and any new contracts are among the next developments to watch. Enna Lee reports on investing and digital-asset markets for TokenPost.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to TokenPost.