3 ms·
Uber issued bonds: https://www.bloomberg.com/news/articles/2018-10-16/uber-is-said-to-boost-bond-sale-to-2-billion-as-orders-swell https://www.bloomberg.com/new
by YjSe2GMQ 7y ago
Uber issued bonds:
https://www.bloomberg.com/news/articles/2018-10-16/uber-is-said-to-boost-bond-sale-to-2-billion-as-orders-swell https://www.bloomberg.com/news/articles/2018-10-16/uber-is-s...
Rated by Moody's as B3 and by S&P as B-, which is the bottom of "Highly speculative":
https://en.wikipedia.org/wiki/Bond_credit_rating#Credit_rating_tiers https://en.wikipedia.org/wiki/Bond_credit_rating#Credit_rati...
For comparison, Uber bonds are one grade lower than Argentinian bonds: https://tradingeconomics.com/argentina/rating https://tradingeconomics.com/argentina/rating
Such credit ain't cheap, especially now that interest rates are no longer zero.
- naveen99 7y agoThey sold $2billion in 8 year bonds at 8% yield. i think their cost of capital will go down now that their contribution margin is positive (9%)