Microsoft completes 25000000000 USD 10 tranches of USD bond pricing, with the longest maturity extending to 2066 years
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Microsoft completes 25000000000 USD、10 tranches of USD note pricing, with the longest maturity extending to 2066 years.
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Microsoft completes 25000000000 USD 10 tranche bond pricing, with the longest maturity extending to 2066 years
PANews October 30 reported that, according to a U.S.SEC filing, Microsoft has completed 10 tranches of USD note offering pricing, with a total size of 25000000000 USD, including 2028-year and 2029-year floating-rate notes, respectively maturing in 1000000000 USD, as well as 2028 to 2066-year 8 tranches of fixed-rate notes totaling 23000000000 USD, with coupon rates ranging from 4.85%to 6.35%, and spreads over comparable U.S. Treasuries ranging from 25 to 105 basis points. The notes will settle on November 4, with ratings of Aaa and AAA from Moody's and S&P, respectively. This is Microsoft's first issuance of 2017 bonds since USD.
Microsoft completes 10 tranches of USD note offering pricing, with a total size of 25000000000 USD。
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, including 2028-year and 2029-year floating-rate notes, respectively maturing in 1000000000 USD。
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2028 to 2066-year 8 tranches of fixed-rate notes totaling 23000000000 USD, with coupon rates of 4.85%to 6.35%。
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The notes carry spreads over comparable U.S. Treasuries of 25 to 105 basis points and will settle on November 4.
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Moody's and S&P ratings are Aaa and AAA。
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This is Microsoft's first issuance of 2017 bonds since USD.
AI-assisted interpretation
The following is analysis, separate from reported facts. Verify important claims independently.
Microsoft raised funds by issuing USD bonds, with some bearing floating interest rates and others fixed interest rates; the bonds are scheduled to settle on November 4.
Why it matters to readers
This is a relatively large offering, increasing Microsoft's bond financing arrangements and also bringing USD a sizable single supply transaction to the investment-grade corporate bond market.
A bond issuance can be understood as a company borrowing money from investors; the coupon rate is the interest the company pays as agreed, while ratings reflect rating agencies' assessment of its repayment capacity.
Risks and unknowns
The current materials do not include the original U.S.SEC filing, and the final offering terms still need to be verified.
Whether the notes settled as scheduled on November 4 has not yet been confirmed.
The impact of Microsoft's subsequent debt scale and interest expenses is not disclosed in the current materials.
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Floating-rate notes
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