Search This Blog
https://sites.google.com/view/101waysearnmoneyonline/home
Featured
- Get link
- X
- Other Apps
Meta Said to Be Targeting $7 Billion in Its Second Blue-Chip Bond Sale
Meta Platforms emerged as the first mega-cap technology company to tap the US investment-grade bond market as turmoil in the financial sector has toppled five banks since March.
The social-media behemoth, which reported earnings last week, is looking to raise $7 billion (nearly Rs. 57,250 crore) in a five-part deal, according to a person familiar with the matter. The longest portion of the offering, a 40-year security, may yield 215 basis points over Treasuries, the person said.
Eleven companies have already come forward with bond offerings Monday as companies look to issue debt before the Federal Open Market Committee meeting and subsequent rate decision Wednesday.
Meta raised $10 billion (nearly Rs. 81,790 crore) in its first ever corporate bond issue last year. The Facebook parent plans to use the fresh funds to help finance capital expenditures, repurchase outstanding shares of its common stock, and for acquisitions or investments, the person added.
The Menlo Park, California-based company has spent the last months cutting costs and restructuring its workforce, while advertising sales rebounded in the first quarter. Even though it touts strong cash flow, the company is likely looking to shore up extra cash for future bond buybacks, according to Bloomberg Intelligence analyst Robert Schiffman.
“After it boosted repurchase authorization by $40 billion (nearly Rs. 3,27,160 crore) in January, we envision shareholder returns will keep growing — similar to Alphabet and Apple — as free-cash-flow prospects improve,” he wrote in a note. “With initial price talk wide to peers, we perceive little credit risk and strong relative value out the curve.”
Representatives for Meta did not immediately respond to a request for comment.
© 2023 Bloomberg LP
from Gadgets 360 https://ift.tt/GB8cehE
Popular Posts
#Weight Loss Tip 12 How Starving Your Body Can Make You Gain Weight
- Get link
- X
- Other Apps
Earn free Airdrop hurry join listing soon
- Get link
- X
- Other Apps
Comments
Post a Comment