Tue. Mar 31st, 2020

Comcast Raises $4 Billion in New Debt to Offset Virus Impact

Comcast has raised $4 billion through a debt offering to offset the impact of the COVID-19 outbreak on its businesses, according to a SEC filing made public Wednesday.

“The impact of coronavirus disease 2019 and measures to prevent its spread are affecting the company’s businesses in a number of ways. For example, the company has closed all of its theme parks; the company has delayed theatrical distribution of films both domestically and international,” Comcast said in the regulatory filing.

The cable giant also said the production and distribution supply chains for its film and TV programming in the U.S. and globally had been disrupted, especially with delays or cancellation of sporting events, including the 2020 Tokyo Olympics.

Comcast offered via its new debt raise five different senior notes, which will mature between 2025 and 2040 and have interest rates ranging from 3.1 percent to 3.75 percent.

On Tuesday, in a separate regulatory filing, Comcast disclosed that the coronavirus pandemic could have a “material” hit on its financials, even though it was difficult to quantify the hit.

The Walt Disney Company on Friday said it had raised $6 billion in its own new debt offering to offset the impact of the coronavirus outbreak on its own businesses. And Discovery in its own SEC filing on Tuesday revealed it recently drew down $500 million from a revolving credit facility to shore up its balance sheet amid the COVID-19 crisis.

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Written By: Tommy Lightfoot Garrett

Photographs are Courtesy:  AP

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