Apple places $7 billion in return to bond market

Apple had cash and cash equivalents worth $50.53 billion, as of June 29 as well as tens of billions more in securities holdings. (AFP)
Updated 05 September 2019

Apple places $7 billion in return to bond market

  • The company had said on Wednesday it was offering the five sets of notes, the first of which matures in 2022
  • Apple had cash and cash equivalents worth $50.53 billion, as of June 29 as well as tens of billions more in securities holdings

Apple said on Thursday it had sold $7 billion of bonds at yields ranging up to 103 basis points over the equivalent US Treasury on maturities of up to 30 years, its first such debt issues since November 2017.
The company had said on Wednesday it was offering the five sets of notes, the first of which matures in 2022, to fund a range of needs including share repurchases, dividend payments, capital expenditures, acquisitions and repayment of debt.
Apple had cash and cash equivalents worth $50.53 billion, as of June 29 as well as tens of billions more in securities holdings.
Aggregate net proceeds from the sale will be about $6.96 billion after deducting underwriting discounts and Apple’s offering expense, the company said.


IMF warns of Asia’s darkening growth outlook as trade war bites

Updated 18 October 2019

IMF warns of Asia’s darkening growth outlook as trade war bites

  • The IMF cut its economic growth forecast for the Asia-Pacific region to 5.0 percent for this year and 5.1 percent for 2020
  • It also slashed China’s growth forecast to 6.1 percent for this year and 5.8 percent for 2020
WASHINGTON: Asian nations face heightening risks to their economic outlooks as the US-China trade war and slumping Chinese demand hurt the world’s fastest-growing region, the International Monetary Fund said on Friday.
In its World Economic Outlook report on Tuesday, the IMF cut its economic growth forecast for the Asia-Pacific region to 5.0 percent for this year and 5.1 percent for 2020 — the slowest pace of expansion since the global financial crisis more than a decade ago.
“Headwinds from global policy uncertainty and growth deceleration in major trading partners are taking a toll on manufacturing, investment, trade, and growth,” Changyong Rhee, director of the IMF’s Asia and Pacific department, said during a news conference at the IMF and World Bank fall meetings.
“Risks are skewed to the downside,” he said, calling on policymakers in the region to focus on near-term fiscal and monetary policy steps to spur growth.
“The intensification in trade tensions between the US and China could further weigh on confidence and financial markets, thereby weakening trade, investment and growth,” he said.
A faster-than-expected slowdown in China’s economic growth could also generate negative spillovers in the region, as many Asian countries have supply chains closely tied to China, he added.
The IMF slashed China’s growth forecast to 6.1 percent for this year and 5.8 percent for 2020, pointing to the impact from the trade conflict and tighter regulation to address excess debt.