Investment grade debt new issue volume has been on a blistering pace thus far in 2024. Total issuance volume has reached record levels and market conditions support a continuation of the current pace. Telecom and Media debt issuance merits watching. The “top 6” Telecom and Media issuers represent $549bn of total debt outstanding. The companies collectively have $25bn of debt maturing in 2024, and $89bn of 2024-2026 maturities.
Mobile Telecom has tapped the debt market, raising $3bn of 5-, 10- and 31-year notes on January 9th in a transaction that was favorably received by the market.
Most recently, Verizon issued $1bn of a 30-year green bond, its sixth such transaction since 2019. The issuance coincided with Verizon’s announcement that the Company completed the allocation of the $1bn of capital raised in its fifth green bond offering. Verizon Green Bond Reports
Charter issued $1.1bn of a rare 3-year senior note tranche alongside $900mm of 10-year notes on November 7th last year.
AT&T, Comcast, Disney and Verizon
AT&T, Comcast, Disney and Verizon each have ample 2024-2026 maturities coming due. Disney also has to finance $8.6bn, representing the remaining 33% of Hulu they purchased from Comcast. Many expect the transaction to close in the first half of this year. See Disney Hulu Announcement
A detailed summary of the debt capital structures of the major telecom and media investment grade debt issuers is below:
All told, telecom and media debt issuance is expected to be robust in 2024 as issuers address near term refinancing needs in the context of an attractive market backdrop. For daily corporate debt new issue information, see Debt New Issue Daily Summary
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