Apple Sells $5.25 Billion in Five-Part Dollar Bond Sale,Yielding More Than Treasurys

$Apple(AAPL.US)$ The $5.25 billion bond offering in the U.S. blue chip bond market was made ahead of the release of U.S. CPI and PPI data, compared to approximately $5 billion originally planned. The corporate bonds with a maximum maturity of 30 years will carry an interest rate premium of 108 basis points over comparable U.S. bonds, down from the previously discussed premium of approximately 135 basis points. Apple has applied to issue five different maturities of bonds maturing in 2026, 2028, 2030, 2033 and 2053.

Dealers surveyed by Bloomberg are expecting $30 billion to $35 billion of US high-grade bond sales this week as corporate debt markets show signs of stabilizing. A total of 11 companies are set to issue $22.55 billion of fresh debt on Monday, locking in funding before the release of the consumer price index on Wednesday, followed by the producer price index Thursday. $T-Mobile US(TMUS.US)$ and $Merck & Co(MRK.US)$ also brought $3.5 billion and $6 billion in bonds, respectively.

Apple is the second mega-cap tech issuer to sell bonds after reporting earnings. $Meta Platforms(META.US)$ raised $8.5 billion in its second ever bond sale last week.