- Apr 12, 2001
This would mark first time that Apple would begin issuing bonds in euros, with Deutsche Bank and Goldman Sachs arranging the sale. This past April, Apple held a $12 billion bond sale, which followed a record $17 billion sale last year. Apple's bond offerings are a part of its expanded capital return program, which primarily involves a major stock buyback program and a quarterly dividend that aims to return more than $130 billion to shareholders by the end of 2015.The iPhone maker is seeking to raise at least EUR1 billion ($1.2 billion) from two chunks of euro debt maturing in eight and 12 years.
Those would beat the lowest yields ever paid for euro-denominated, corporate bonds of these maturities, according to Dealogic data, reflecting solid confidence that the bonds represent a safe bet. Bankers managing the bond sale suggested the eight-year notes will give investors a yield of roughly 1.1% and the 12-year notes around 1.7%.
Apple spoke with investors on Monday about issuing bonds and will use the proceeds of the sale for general corporate purposes, including share buybacks and dividend payments.
Update: The Wall Street Journal has revised its article to note Apple is actually looking to raise EUR2.8 billion ($3.5 billion) in the bond sale.
Article Link: Apple Looking to Raise $3.5 Billion From Bond Sale Involving Euros [Updated]