I don't understand how OpenAI can guarantee 17.5% returns

Posted by ericlmtn on Monday March 23, 2026 @06:04PM
from the bankless.com dept.

( 4 comments | 5 points | on HN )

Re:I don't understand how OpenAI can guarantee 17.5% returns by wmf on Monday March 23, 2026 @06:10PM (#47495839)

"Guarantee" is not an appropriate word here. In fact, such a high rate indicates that it's a very risky investment ("junk bonds" pay ~7.5%).

[ Parent | on HN ]

Re:I don't understand how OpenAI can guarantee 17.5% returns by ericlmtn on Monday March 23, 2026 @08:30PM (#47497144)

article does say a 17.5% minimum, which makes me wonder

[ Parent | on HN ]

Re:I don't understand how OpenAI can guarantee 17.5% returns by wmf on Monday March 23, 2026 @10:08PM (#47497852)

I'm guessing these are convertible so the lenders can take either 17.5% interest or convert to stock, whichever is worth more.

[ Parent | on HN ]

Re:I don't understand how OpenAI can guarantee 17.5% returns by ericlmtn on Monday March 23, 2026 @06:04PM (#47495766)

Are private equity firms really buying this? Especially with all the cash flow issues going around?

[ Parent | on HN ]