Sprint Is Planning To Raise $500 Through Public Offering Of Senior Unsecured Notes

Posted Aug 14, 2009

Sprint is planning to raise $500 million through a public offering which would go towards general business expenses.  This past Monday, Sprint filed the possibility of the fund raising with the SEC.  General business expenses also includes the acquisition of Virgin Mobile for $483 million.

Sprint would raise the funds by offering senior unsecured notes that would mature in August 2017.  The 8-year notes was given a BB rating by Fitch Ratings.  Sprint lost many subscribers last year, but all of their competitors gained subscribers.

However Sprint has the exclusive rights for selling the Palm Pre device and this helped the telecommunications company beat sales records.