Workday prices $2.5 billion senior notes to refinance debt
Workday announced that it has priced a $2.5 billion senior‑note offering composed of four tranches maturing between 2029 and 2036. The net proceeds will be used to retire about $1 billion of its 3.5 % notes that mature in 2027 and for other corporate needs. The transaction is being led by Morgan Stanley, BofA Securities, Barclays and Wells Fargo Securities and is slated to close on 23 October 2026.
Why it matters
The repayment of the 2027 debt reduces Workday’s near‑term liabilities, potentially improving its balance‑sheet leverage. Remaining funds add flexibility for general corporate initiatives, which may include acquisitions, according to the company’s filing.
Key facts
- 1The offering totals $2.5 billion of senior notes. stocktitan.net
- 2Four tranches were issued: $750 million at 5.700% due 2029, $500 million at 6.000% due 2031, $750 million at 6.300% due 2033, and $500 million at 6.500% due 2036. prnewswire.com
- 3Workday will use the proceeds to retire $1.0 billion of 3.500% notes that mature on 1 April 2027. prnewswire.com
- 4The closing of the offering is expected on 23 October 2026. prnewswire.com
- 5Morgan Stanley, BofA Securities, Barclays and Wells Fargo Securities are the joint book‑running managers. prnewswire.com
Summary written by AlphAI AI Desk from 5 of 5 sources. Not investment advice. Figures are as stated by the linked sources.