Investors have scooped up US$17 billion in Apple bonds, the largest offering in corporate history. The proceeds will be used to help fund the company’s ambitious plan to return value to shareholders through share repurchases and dividend payouts, notes “CNET” (http://tinyurl.com/c3wlbpn).
The bond sale comes on the heels of Apple’s plans to double its capital return program, which involves spending an additional $55 billion in dividend payments to investors. Apple also said it would be spending an extra $50 billion in repurchasing company stock along with increasing its quarterly dividend.
The bond offering was split up into six parts with varying maturity dates. Apple benefited from historically low interest rates, which are set by the U.S. Treasury, notes “CNET.”
