The Firm represented Barclays Capital, Citi, J.P. Morgan, Goldman, Sachs & Co. and Wells Fargo Securities and other underwriters in connection with a $4.75 billion offering of debt securities by Microsoft Corporation.
Microsoft offered $1.0 billion of 0.875% Notes due 2013, $1.75 billion of 1.625% Notes due 2015, $1.0 billion of 3.000% Notes due 2020 and $1.0 billion of 4.500% Notes due 2040. The net proceeds from the transaction will be used for general corporate purposes, which may include funding for working capital, capital expenditures, repurchases of capital stock and acquisitions.
According to The Wall Street Journal, the debt offering achieved “some of the lowest rates in history for corporate debt.” The Journal stated that Microsoft “surpassed previous lows held by companies including International Business Machines Corp., DuPont Co., and Johnson & Johnson [and]… will pay a coupon of 0.875% on its three-year debt, beating IBM’s previous record of 1%.”
Microsoft is the worldwide leader in software, services and solutions for people and businesses.
The Simpson Thacher team for the debt offering included, among others, Glenn M. Reiter, Kirsten L. Davis and Solomon Bashi (Capital Markets), and Jonathan Cantor and Amie Broder (Tax).