Walmart uses debt market to raise nearly $5 billion in capital

Walmart has returned to the debt market to raise about $5 billion in capital that will be used for general purposes, the company said. The retail giant is selling notes in three-year, five-year, eight-year, 10-year and 20-year maturities.

A filing with the U.S. Securities and Exchange Commission on Monday (April 17) shows the bonds issues include:
• $750 million at 4% due 2026;
• $750 million at 3.9% due 2028;
• $500 million at 4% due 2030;
• $1.5 billion at 4.1% due 2033; and
• $1.5 billion at 4.5% due 2053.

The bonds are being marketed by Citigroup Global Markets, HSBC Securities, Mizuho Securities, BNP Paribas Securities, J.P. Morgan and Morgan Stanley who also acted as underwriters for the securities. The bonds were priced on April 18 and are expected to net Walmart about $4.97 billion before expenses, according to the filing.

This debt issue follows $5 billion the retail giant raised in September 2022 and ahead of the Federal Reserves’s Federal Open Market Committee’s next meeting slated for May 2-3 when another rate increase is expected.

Walmart shares (NYSE: WMT) closed Monday at $149.52, up $1.04 on the day. Over the past 52 weeks the stock has traded between $117.27 and $160.77.