Waymo Secures $5 Billion Term Loan From Blackstone, PIMCO in Its First-Ever Debt Financing

Waymo, Alphabet's autonomous vehicle unit, has closed a $5 billion term loan — the company's first-ever debt financing — as it accelerates its robotaxi expansion across the United States, Europe and Japan. The company announced the deal on Thursday, describing it as an important step in its evolution into a "scaling commercial enterprise."

The loan brings in a roster of heavyweight lenders rarely seen in a single private-company credit facility. PIMCO, Blackstone and Sixth Street participated as lead syndicated lenders, while Capital Group, Loomis Sayles and T. Rowe Price joined as significant lenders. Additional participants included Apollo, Blue Owl, Diameter Capital Partners, Franklin Templeton, Fidelity Management & Research Company, HPS Investment Partners and Oaktree. Goldman Sachs served as the sole lead bookrunner for the deal.

Until now, Waymo has relied almost entirely on capital from its parent company and outside equity investors. In February, the company raised $16 billion in equity from investors that pushed its valuation to $126 billion, with Dragoneer Investment Group, DST Global and Sequoia Capital leading the round while Alphabet maintained its position as majority investor. Earlier rounds included a $5.6 billion Series C in 2024, $2.5 billion in 2021 and $3.2 billion in 2020.

The new debt facility marks a notable shift: Waymo is now financing part of its expansion through credit markets, a signal that lenders view its robotaxi operations as a commercially viable, revenue-generating business rather than an endless research project. "This financing supports our long-term flexibility to execute with speed, scale thoughtfully, and continue leading the autonomous vehicle industry responsibly," the company said in a statement.

The capital will fund the expensive infrastructure behind the robotaxi business — vehicle fleets, depots, mapping, compute, maintenance, insurance and operations. Waymo launched operations in its 15th US city last month and has announced expansion plans for Singapore, with near-term plans to offer robotaxi rides in London and Tokyo.

The company said the financing gives it "financial flexibility to strengthen its balance sheet" and position itself to "capitalize on the significant opportunities ahead, especially as a scaling business with proven commercial demand and improved road safety outcomes." Formerly a self-driving project within Google, Waymo began public-road testing years ago and expanded to Phoenix in 2016, which became its first robotaxi market. Between February's equity raise and this loan, Waymo has now announced or closed roughly $21 billion in new financing this year alone.