Oracle's $16 billion financing play for its upcoming data center in Michigan has finally come to a resolution.

After months of negotiations, Big Red has finally pinned the necessary debt and equity to move ahead with the development.

To fund the project, Bank of America sold $14bn in bonds tied to the project in a debt sale, of which Pimco acquired $10 billion, according to Bloomberg, while the rest was covered by other investors.

The bonds mature in 2045 and carry a 7.5 percent coupon.

The total financing package for the data center in Saline Township is $16 billion, including equity from Related Digital and funds associated with Blackstone Inc. Blackstone reportedly contributed $2bn.

The Saline Township project was confirmed in October 2025, with the site expected to offer 1GW of capacity and cost around $10bn to develop. The data center is part of OpenAI's Stargate project. Related Digital is developing the campus and has been targeting the site since August 2025.

"The strength of this financing is a powerful validation of what we have built at Related Digital and of the critical role this project will play in America's digital future," said Jeff T. Blau, CEO of Related Companies and chairman of Related Digital.

"We are grateful for the confidence of Blackstone, Pimco, and our world-class banking partners, institutions who understand the scale, complexity, and long-term value of what we are delivering for our partners at Oracle and OpenAI."

He added that "major construction is well underway in Saline Township."

DTE Energy has signed on to provide 100 percent of the data center's power, including a battery storage project funded by Oracle.

"The rapid progress at our Saline Township data center underscores the urgency and scale of building America's next-generation AI infrastructure," said Mahesh Thiagarajan, executive vice president, Oracle Cloud Infrastructure. "Together with our partners, we are not just building a data center – we are creating high-quality jobs, investing in the communities in which we operate, and driving long-term economic growth. This project reflects our deep commitment to Michigan and to powering the future of AI in the United States."

Pimco is an American investment management firm owned by Allianz Group and has a large European real estate platform. The company launched a new European data center platform, Apto, in 2023. Pimco teamed up with Blue Owl to help Meta access financing for its planned Hyperion data center.