Summary
Dell Technologies Inc. (DELL) has announced a significant debt offering through an Underwriting Agreement dated March 26, 2025. The company, along with its subsidiaries Dell International L.L.C. and EMC Corporation, will issue and sell a total of $4 billion in aggregate principal amount of senior notes across four tranches: $1 billion in 4.750% Senior Notes due 2028, $1 billion in 5.000% Senior Notes due 2030, $1 billion in 5.300% Senior Notes due 2032, and $1 billion in 5.500% Senior Notes due 2035. The net proceeds from this offering are intended for general corporate purposes, which may include the repayment of existing debt. This move suggests a proactive approach by Dell to manage its capital structure and potentially refinance existing liabilities with new debt at specified interest rates. The offering is backed by guarantees from Dell Technologies Inc., Denali Intermediate Inc., and Dell Inc. and is expected to close on April 1, 2025.
Key Highlights
- 1Dell Technologies Inc. is issuing $4 billion in senior notes across four maturity tranches (2028, 2030, 2032, 2035).
- 2The notes carry interest rates ranging from 4.750% to 5.500%.
- 3Proceeds will be used for general corporate purposes, including potential debt repayment.
- 4The offering is a public debt issuance registered with the SEC on Form S-3ASR.
- 5The notes are guaranteed by Dell Technologies Inc., Denali Intermediate Inc., and Dell Inc.
- 6The closing of the offering is scheduled for April 1, 2025.
- 7The issuance involves major underwriters including BofA Securities, Citigroup, Goldman Sachs, HSBC, J.P. Morgan, and Wells Fargo Securities.