Debt financing is when a company raises cash by borrowing, promising to repay lenders with interest, rather than selling shares to new investors. CNBC's David Faber reported Friday that Broadcom is in discussions to arrange a package of that kind, with sources putting the expected size at upward of $70 billion, connected to a chip financing deal.
Faber attributed the figures to sources, not to Broadcom, so they represent an expectation rather than a signed commitment. The report specifies the scale and the stated purpose of the borrowing. The structure of the debt, the lenders involved, and the specific chip transaction the package would support were not detailed.
Until Broadcom confirms or a filing appears, the figures sit where Faber left them Friday: attributed to sources, with the top of the range at $80 billion.