US incumbent Verizon Communications could launch a new bond offering in the New Year as it is set for talks with European fixed income investors before the end of the month, IFR reported citing market sources.
Proceeds from an issue may be used to…
US incumbent Verizon Communications could launch a new bond offering in the New Year as it is set for talks with European fixed income investors before the end of the month, IFR reported citing market sources.
Proceeds from an issue may be used to tackle the US$12bn term loan Verizon took out with a syndicate of banks, led by JP Morgan, to fund its US$130bn Verizon Wireless takeover in September.
That loan was part of a gigantic US$61bn financing package, which included the sale of US$49bn notes – the largest corporate bond in history.
Verizon had originally planned to split the US$49bn into smaller offerings denominated in sterling and euro but, due to phenomenal demand, ended up raising all the financing it required in dollars.
In the wake of the issue, some European investors were quoted as being disappointed that euro- and sterling-denominated notes were not issued as they had wanted to invest in Verizon debt.
Verizon declined to comment on the report.
