According to media reports citing multiple anonymous sources familiar with the matter, OpenAI has committed to investing up to $1.5 billion in a new joint venture established in partnership with private equity firms.
OpenAI will initially inject $500 million of its own equity into the joint venture. Concurrent with this funding round, the overall valuation of the enterprise is expected to reach $10 billion, with the round anticipated to close in early May.
OpenAI holds an option to invest an additional $1 billion at a later stage.
Investment firms, including TPG, Inc., Bain Capital, Advent International, Brookfield Asset Management, and Goanna Capital, will collectively contribute $4 billion.
The participating private equity firms have an investment holding period of five years, for which OpenAI has guaranteed a minimum annualized return of 17.5%.
The new joint venture, which has the internal codename DeployCo, has already begun hiring its own employees and also includes staff seconded from OpenAI.
OpenAI holds a majority stake in the joint venture, which is currently managed by Brad Lightcap.
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