Pimco Lands $2 Billion in Paper Gains From Meta Data Center

Pacific Investment Management Co. (Pimco) has reportedly earned $2 billion in paper gains from the $27 billion debt package it led for a Meta Platforms Inc. (Meta) data center. The debt package, which was announced in October 2022, was used by Meta to finance the construction of a new data center in Texas. Pimco, one of the world's largest asset managers, was the lead arranger for the debt financing. According to the report, the value of the debt securities held by Pimco has increased significantly since the deal was struck, resulting in the $2 billion in paper gains. This reflects the strong investor demand for debt linked to large technology companies like Meta. The data center project is a significant investment for Meta, as the company seeks to expand its infrastructure to support its growing operations and data needs. The successful debt financing and the subsequent paper gains for Pimco highlight the company's expertise in navigating the debt markets and capitalizing on opportunities in the tech sector.