Microsoft Prices $25B Bond Sale Across 10 Tranches, Longest Dated 2066
MSFT sits 52% above its 52-week low of $349.2.
Summary
Microsoft priced $25 billion of senior unsecured notes in ten tranches, from floating-rate paper due 2028 and 2029 to fixed-rate bonds out to 2066, with coupons ranging from 4.85% to 6.35%. Proceeds go to working capital, capital expenditures, stock repurchases, acquisitions and repayment of existing debt, and the deal is expected to close November 4. The size is modest against a company that generated $39.4 billion of capex in a single quarter and carries $677 billion of commercial remaining performance obligations, so this reads as routine balance-sheet management rather than a distress signal. The long-dated 6.15%-6.35% coupons lock in funding for AI infrastructure buildout at a time when the equity is trading near its 52-week high. Watch the November 4 close for final settlement terms.
At the time of this announcement, MSFT was trading at $529.05 on NASDAQ in the Technology sector, with a market capitalization of approximately $3.9T. The 52-week trading range was $349.20 to $551.15. This news item was assessed with neutral market sentiment and an importance score of 7 out of 10. Source: dpa-AFX.