Broadcom Sells $5 Billion of Bonds to Refinance VMware Loan
- Longest portion of the deal yields 0.95 percentage point
- Broadcom secured up to $28.4 billion in term loans last year
Broadcom headquarters in San Jose, California.
Photographer: David Paul Morris/BloombergThis article is for subscribers only.
Broadcom Inc. borrowed $5 billion in the US investment-grade bond market on Monday, to refinance a portion of the loans it secured to pay for its $69 billion acquisition of VMware Inc.
The software developer sold debt in three parts, according to a person with knowledge of the matter. The longest tranche yields 0.95 percentage point over Treasuries, said the person, who asked not to be identified, after initial talks in the area of 1.25 percentage point above Treasuries.