Meta Issues Dollar- and Euro-Denominated Bonds a Day Apart... Raises 34 Trillion Won in Two Days

Raised $15 billion through dollar-denominated bonds
Followed by 9 billion euros in euro-denominated bonds
A “hit” despite AI concerns, thanks to high yields

Meta Platforms (Meta), the parent company of Facebook, which is expanding its investment in artificial intelligence (AI), issued dollar- and euro-denominated bonds on consecutive days. It raised approximately 34 trillion won in the bond markets over the two days.

Meta CEO Mark Zuckerberg speaks at the Meta Connect conference in Menlo Park, California, on Sept. 23 (local time). AP-Yonhap News

According to Bloomberg and The Wall Street Journal (WSJ) on November 4 (local time), Meta raised 9 billion euros (approximately 14 trillion won) that day by issuing euro-denominated bonds. It was the first time Meta had issued bonds in a market outside the United States. Meta had also raised $15 billion (approximately 20 trillion won) by issuing dollar-denominated bonds on November 3.

Orders for the euro-denominated bonds totaled 53 billion euros, nearly six times the amount issued. Bloomberg reported that this was the largest-ever order volume for a European corporate bond issuance. The previous record was more than 31 billion euros, set in 2016 by Anheuser-Busch InBev (AB InBev), the world's largest brewer.

Meta's high yields are believed to have attracted investors' interest. Bloomberg noted that even investors cautious about the AI investment boom found it difficult to pass up the high yields.

Credit analysis firm CreditSights said Meta's euro-denominated bond offering could present an attractive investment opportunity for investors. CreditSights analysts said, "Meta's euro-denominated bond offering gives European investors an opportunity to diversify their technology-related investment holdings."

CreditSights also said that as technology companies issue more bonds in the future, investors may have opportunities to invest on more favorable terms. It advised investors to preserve their capacity to participate in additional bond offerings down the road.

According to the London Stock Exchange Group (LSEG), Meta plans to use the proceeds from this bond offering for general corporate purposes.

This content was produced with the assistance of AI translation services.