On December 3, Microsoft Corporation (NASDAQ:MSFT) made a dual-currency debt offering comprising of $3.25B in US dollar bonds and 3.5B in euro bonds. At an aggregate value of $8B, this was the largest such issue made after November 2001, when AT&T Inc. (NYSE:T) issued bonds worth $10.1B. According to a filing, the company plans to use the proceeds for “general corporate purposes.” Potential utilization That is a pretty wide-ranging term, but Bernstein Research analysts Mark L. Moerdler and Emily Chan, in their analysis dated December 10, narrow down Microsoft Corporation (NASDAQ:MSFT)’s likely motives for the debt issue to four: – …
Microsoft May Use Its New $8B War Chest For Buybacks
HFA Staff
The post above is drafted by the collaboration of the Hedge Fund Alpha Team.