Tencent Holdings Breaks Four-Year Silence with Major Bond Sale Move

Tencent just fired up the debt engines for the first time since 2020—because even tech giants need to refuel.

Why now? Market watchers are buzzing. Is this a strategic cash grab amid rising interest rates, or just corporate finance doing its usual dance? Either way, it signals big moves ahead.

Timing tells all. Launching a bond sale after five years of radio silence isn't just routine—it's a statement. Tencent's playing the long game, and Wall Street's taking notes.

Here's the kicker: in a world where traditional finance still loves its paperwork, Tencent's move feels almost crypto-adjacent—raising capital without diluting equity. Almost elegant, if you ignore the irony of using old-school tools.

Tencent has upcoming obligations, including a $500 million maturing in April 2026

Tencent deal’s timing will hinge on market conditions, internal capital requirements, and investor appetite, in compliance with the applicable regulations. The company has yet to reveal how much it intends to raise, but the MOVE seems driven by both necessity and market opportunity.

With the September issuance window wide open, many issuers are hurrying to lock in financing before conditions potentially turn less favorable.

Tencent already faces a squeezing debt schedule, with a $500 million note maturing in April 2026 and another $1 billion bond due in January 2026. Although the company had long floated the prospect of dollar- and yuan-denominated issuance, the deal only came to market this year.

However, with rates in Asia’s currency markets that are friendly to the company, this window may enable Tencent to deal with its upcoming debt maturities effectively. On the earnings side, the company reported strong June-quarter results with sales rising 15% to $25.7 billion, about 3% ahead of its guidance.

As earlier reported by Cryptopolitan, the company posted a 17% rise in net income, driven largely by the firm’s stronger margins across advertising and gaming segments. Among the contributors cited by the company for its results were AI-powered advertisements and the growth of gaming and social media efforts.

Besides, Tencent is ramping up its investments in artificial intelligence R&D. The company has even added Yao Shunyu, an artificial intelligence expert who formerly worked at OpenAI, to its team. According to people familiar with the matter, Yao will work from Tencent’s main offices in Shenzhen, helping integrate AI across its products.

Tencent has been a leader in pushing forward AI research. It chose to weave AI software into all its offerings rather than introducing new AI platforms. DeepSeek’s R1 fuels its gaming and social media applications, together with its proprietary Hunyuan model.

The company’s cloud platform offers computing capacity to customers building AI systems. Rivals, including Alibaba and ByteDance, have also introduced their models in the process of an AI arms race.

Alibaba Group Holdings revealed its $3.2 billion pricing of its note offering

Alibaba Group Holdings also disclosed the $3.2 billion pricing of its convertible note sale, making it the biggest offering so far in 2025. The offering is scheduled to close on September 16, 2025, pending standard closing conditions.

The company estimates earning about $3.13 billion from the net offering. Toughly 80% of which will be used to strengthen its cloud infrastructure, including scaling data centers, upgrading systems, and enhancing service quality.

Around 20% of the balance will be invested in international commerce operations, emphasizing operational improvements to boost the global market presence.

Upon issuance, the notes will be senior unsecured obligations of Alibaba and will mature on September 15, 2032, unless they are redeemed or repurchased, or converted before that time.

These investors cannot convert the notes during the 40 days following issuance, referred to as a “distribution compliance period.” After that, and until the business day before March 15, 2032, holders may convert their notes in $1,000 increments as long as certain conditions are met.

In other words, if Alibaba decides to settle conversions, it can pay in cash, ADSs, or a combination of both, providing the company with flexibility to address dilution. Investors who wish to receive ordinary shares instead of ADSs will be required to complete a separate process outside the DTC system and follow applicable deadlines.

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