If you thought the corporate bond market spreads were going to keep issuers away, there has been a record amount of new issuances. Today, Barrick Gold Corporation (NYSE: ABX) announced plans to sell some $750 million in notes.
The notes have a 10-year maturity in 2019 and are expected to have a coupon price of 6.95%. The deal is expected to be offered on March 24. The company said the proceeds will be used for general corporate purposes, which will include funding constructions at projects and to invest in subsidiaries.
As far as how this fits in to a comparison of the company, Barrick has a $29 billion market cap. Morgan Stanley, J.P.Morgan, and Citigroup are in the underwriting syndicate. Interestingly enough, JPMorgan raised the rating to “overweight” earlier this month. Shares closed at $27.98 on that day, and shares are at $33.36 after a 4.5% gain as of this time today.
JON C. OGG
Essential Tips for Investing (Sponsored)
A financial advisor can help you understand the advantages and disadvantages of investment properties. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
Investing in real estate can diversify your portfolio. But expanding your horizons may add additional costs. If you’re an investor looking to minimize expenses, consider checking out online brokerages. They often offer low investment fees, helping you maximize your profit.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
