Apple returns to the bond market after two years, issuing $4.5 billion in bonds
Apple successfully issued bonds worth a total of $4.5 billion on Monday, marking the tech giant's first bond financing in nearly two years. According to regulatory filings, the iPhone manufacturer plans to use the net proceeds for general corporate purposes, including stock buybacks, dividend payments, working capital replenishment, capital expenditures, mergers and acquisitions, and debt repayment. This bond issuance includes four varieties: $1.5 billion of 4% notes maturing in 2028, $1 billion of 4.2% notes maturing in 2030, $1 billion of 4.5% notes maturing in 2032, and $1 billion of 4.75% notes maturing in 2035. Reports indicate that Apple's existing $8 billion debt will mature between May and November of this year. According to informed sources, this bond issuance received enthusiastic market response, with total subscription orders reaching $10 billion, far exceeding the issuance size. The report adds that Apple may have chosen to issue bonds at this time to take advantage of the favorable opportunity presented by the narrowing investment-grade bond spreads—following last month's announcement by U.S. President Trump to relax tariff policies for certain countries, the bond market environment has continued to improve. Apple did not immediately respond to requests for comment
According to Zhitong Finance APP, Apple (AAPL.US) successfully issued bonds worth a total of $4.5 billion on Monday, marking the tech giant's first bond financing in nearly two years.
According to regulatory filings, the iPhone manufacturer plans to use the net proceeds from the fundraising for general corporate purposes, including stock repurchases, dividend payments, working capital replenishment, capital expenditures, mergers and acquisitions, and debt repayment.
This bond issuance includes four varieties: $1.5 billion notes with a coupon rate of 4% maturing in 2028, $1 billion notes with a coupon rate of 4.2% maturing in 2030, $1 billion notes with a coupon rate of 4.5% maturing in 2032, and $1 billion notes with a coupon rate of 4.75% maturing in 2035.
Reports indicate that Apple's existing $8 billion debt will mature in stages between May and November of this year.
According to informed sources, this bond issuance received enthusiastic market response, with total subscription orders reaching $10 billion, far exceeding the issuance scale.
The report adds that Apple may have chosen to issue bonds at this time to take advantage of the favorable opportunity presented by the narrowing investment-grade bond spreads—following last month's announcement by U.S. President Trump to relax tariff policies for certain countries, the bond market environment has continued to improve.
Apple did not immediately respond to requests for comment
