Comcast raises money for Sky purchase with $27bn bond sale

Josh Mines
Follow Josh
A View Of The Comcast Center
The sale is the second largest corporate bond issue this year (Source: Getty)

US media giant Comcast has carried out one of the biggest bond sales in corporate history, borrowing $27bn to fund its acquisition of Sky.

The bond sale is the second largest of the year and fourth largest in corporate history.

Read more: Sky share price flies after Comcast’s £30bn takeover offer

The company sold unsecured bonds in 12 parts, with investor orders climbing to $88bn.

It follows Comcast winning the battle for Sky last month, outbidding 21st Century Fox and its backer Disney to buy the company for £29.7bn.

Fox has already agreed to sell its 39 per cent stake in Sky, which Disney purchased when it bought a raft of Fox's entertainment assets. The decision to flog off the shares means Comcast have all but confirmed the purchase of Sky after saying it had already bought 30 per cent of minority investors' shares.

Through its complete ownership of Sky, Comcast's debt could double, rocketing up to $114bn.

To prioritise debt reduction, Comcast said it would pause its stock repurchase programme next year, as it expects to buy back $5bn shares this year.

Read more: Fox and Disney to sell minority Sky stake to Comcast

Related articles