Broadcom Secures $28.4 Billion Debt Financing for VMware Buy
- Replaces a $32 billion bridge it first entered into last year
- The new loans can be increased by as much as $2 billion
Broadcom offices in San Jose, California.
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Broadcom Inc. has secured up to $28.4 billion in new debt commitments to fund its purchase of VMware Inc. and replace a shorter-term loan it had snagged as it awaits regulatory approval for the deal.
The commitments are split between two $10.7 billion term loans and a $7 billion term loan, according to a Wednesday filing. The loans — which can be increased by as much as $2 billion — will replace a $32 billion bridge loan that Broadcom entered into last year to fund the acquisition. Bank of America Corp. is acting as the administrative agent for the agreement.