Ford Sells $2.8 Billion in Auto Debt to Boost Tech Spending
- Company borrows for car business for first time since 2013
- Heavy investments coming in self-driving and electrified autos
This article is for subscribers only.
Investors piled into Ford Motor Co.’s first automotive borrowing in almost four years, allowing the company to slash interest rates on a $2.8 billion debt sale as it boosts spending on self-driving cars, mobility services and electrified vehicles.
The automaker sold 10-year and 30-year notes Monday, according to data compiled by Bloomberg. Investors put in about $8.7 billion of orders for the bonds, said a person familiar with the matter, letting Ford sell more than the $2 billion it initially anticipated. Ford’s last automotive issue was for $2 billion in January 2013. The company said its auto business had $13.1 billion in debt at the end of September and net cash of $11.2 billion.