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Food & drink

Diageo announces US$2.5bn bond issue

In its trading update earlier this month, Diageo boasted of its strong balance sheet; it could do with being a bit stronger, though, apparently

Diageo PLC (LON:DGE), the alcoholic drinks giant, launched and priced a US$2.5bn bond issue on Monday.

The bond offering consisted of US$750mln of 1.375% fixed-rate notes due 2025; US$1bn of 2% fixed-rate notes due 2030 and US$750mln of 2.125% fixed-rate notes due 2032.

In its trading update earlier this month, Diageo boasted of its strong balance sheet, with its adjusted net debt 2.8 times annual underlying earnings (EBITDA) after it issued £1.9bn of euro and sterling bonds in March.

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