Walmart launched a four-tranche US dollar bond offering of at least $2.5 billion, with maturities from three to 10 years, and demand peaked above $14 billion, Bloomberg reported. The longest tranche's pricing tightened by about 0.3 percentage point from initial discussions, to a spread of 0.45 percentage point over US Treasuries. Separately, the retailer is weighing a debut Canadian-dollar bond of at least C$3.5 billion, roughly $2.5 billion, possibly in four tranches maturing in four to 30 years, and has asked Bank of America, Bank of Nova Scotia and Toronto-Dominion Bank to organise investor calls. The financing comes as Walmart expects record spending of $29 billion next year, and it has about $3.3 billion of bonds maturing in 2027. The final size and pricing of the Canadian-dollar deal remain to be determined.
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