Latham & Watkins Advises on OpenAI’s New US$4 Billion Credit Facility

OpenAI announced on October 3, 2024 that, “In addition to securing US$6.6 billion in new funding from leading investors, we have established a new US$4 billion credit facility with JPMorgan Chase, Citi, Goldman Sachs, Morgan Stanley, Santander, Wells Fargo, SMBC, UBS, and HSBC. This is a revolving credit facility that is undrawn at closing. This means we now have access to over US$10 billion in liquidity, which gives us the flexibility to invest in new initiatives and operate with full agility as we scale.”

Latham & Watkins LLP represented the lead arrangers and administrative agent in the financing with a banking team led by New York partners Corey Wright and Lisa Collier, with associates Tulika Sinha and Eric Dang. Advice was also provided on intellectual property matters by associate Pelin Serpin; on litigation matters by San Diego partner Colleen Smith, with associate Elliot Greb; on tax matters by New York partner Bora Bozkurt, with associate Claire Park*; and on regulatory matters by Washington, D.C. partner Jennifer Archie, with associate Charlie Sprague.

*Admitted to practice in Massachusetts only.