Thomas Daniels
Telegram has secured $1.7 billion through a convertible bond offering, reinforcing its financial structure while signaling broader strategic ambitions. The five-year bonds carry a 9% coupon rate. Of the total raised, $955 million will refinance outstanding debt maturing in 2026, with the remaining $745 million allocated to support operational growth.
The offering attracted significant investor interest, leading to an expansion from the initial $1.5 billion target. Participants in the round included global asset manager BlackRock and Abu Dhabi’s Mubadala. Investors have the option to convert their bonds into equity at a 20% discount should Telegram pursue an initial public offering.
The fundraising aligns with Telegram’s broader strategic direction, including a proposed partnership with Elon Musk’s AI venture, xAI. Telegram intends to integrate xAI’s chatbot Grok into its platform, under a tentative one-year agreement. The deal outlines a $300 million commitment from xAI in cash and equity, alongside a 50% revenue-sharing model for AI subscription services distributed through Telegram.
Despite the announcement, Musk publicly stated that no final agreement has been signed. Telegram co-founder Pavel Durov responded by clarifying that formalities remain in progress, though the foundational terms have been agreed upon.
News of the partnership coincided with a notable uptick in Toncoin, Telegram’s native cryptocurrency, which surged 16% to $3.69 following the announcement.
These developments highlight Telegram’s ongoing efforts to solidify its financial footing while expanding its technological ecosystem, positioning the platform at the intersection of messaging, finance, and artificial intelligence.
