Moscow. 2 Aug. Microsoft Corp. placed bonds worth about $ 20 billion to raise funds to Finance the purchase of the social network for professionals LinkedIn, writes the Financial Times.
The volume of placement of bonds was the largest in Microsoft’s history.
According to the newspaper’s sources, Microsoft has placed bonds of seven issues with different maturities amounting to $19,75 billion.
The demand for paper in total exceeded $50 billion, with most of the interest investors have shown in the ten – and thirty-year securities.
Ten-year paper were placed at yield of 90 basis points (b.n.) above the comparable US Treasuries, that is, to approximately 2.42% per annum. The volume of these bonds amounted to four billion dollars.
Thirty-year bonds, Microsoft was placed at yield of 3.73% per annum.
The placement of bonds Microsoft was the fifth largest among the largest of similar transactions in corporate history, writes the FT.
Over the last month, such major American companies as Apple, Walt Disney, Teva and Verizon held the placement.
According to Dealogic, the volume of bond placements with U.S. corporations having a rating of investment grade from the beginning of 2016 exceeds $500 billion.
In June of this year, Microsoft announced it is buying LinkedIn for $26.2 billion. the Company expects to close the transaction before the end of this year.
The proceeds of the bonds may also be directed to other purposes, including to repay debt and repurchase shares.