Telstra (ASX:TLS) announces 500 euro million bond

Company News

by Katrina Bullock

In these times of economic uncertainty, telecom company Telstra (ASX:TLS) is looking to bolster the balance sheet. The company has announced a €500 million bond.

The notes are expected to be issued on 23 April 2020 and will have a 10-year maturity.

Telstra plans to use the proceeds for general corporate purposes including prefunding of future debt maturities.

To put this in context, since mid-March Telstra has also secured an additional $AU940 million in bank facilities, and now has a total of $3.6 billion of committed bank facilities.

The company says its bond issue and the additional bank facilities are both well below Telstra’s current average cost of funds.

Shares in Telstra are trading 0.63 per cent higher at $3.17.

Katrina Bullock

Finance News Network
Katrina is a respected TV journalist, as well as a renowned presenter and award winning lawyer. She holds a Bachelor of Laws (Honours 1st class, division 1), a Bachelor of Business (with Distinction) and is currently undertaking a PhD in Law focused on stock exchange disclosures and corporate governance. She began her career as a corporate lawyer in an Australian top tier commercial law firm and is currently the General Counsel of Greenpeace Australia Pacific. In 2020 Katrina was named one of the 30 best lawyers in Australia under 30 by Lawyer's Weekly.