Alibaba Group Holding Limited (BABA), in collaboration with 89988, has announced the pricing of an issuance consisting of $2.65 billion in aggregate principal amount of U.S. dollar-denominated senior unsecured notes, alongside RMB17 billion in aggregate principal amount of renminbi-denominated senior unsecured notes.
The U.S. dollar-denominated senior unsecured notes comprise $1 billion of 4.875% notes due in 2030 with an issue price of 99.838% per note; $1.15 billion of 5.250% notes due in 2035 with an issue price of 99.649% per note; and $500 million of 5.625% notes due in 2054, issued at a price of 99.712% per note.
Meanwhile, the RMB-denominated senior unsecured notes include RMB8.40 billion of 2.65% notes maturing in 2028, RMB5 billion of 2.80% notes maturing in 2029, RMB2.50 billion of 3.10% notes due in 2034, and RMB1.10 billion of 3.50% notes maturing in 2044, all issued at 100% of their face value.
The USD Notes offering is anticipated to be finalized by November 26, 2024, with the RMB Notes expected to close by November 28, 2024, both subject to typical closing conditions.
Alibaba has indicated that the proceeds from these note offerings will be directed towards general corporate purposes, which include the repayment of offshore debt and share repurchases.
