Apple Red LogoApple is considering issuing about 200 billion yen ($1.62 billion) in bonds as early as June in Japan, in what would be the company's first fundraising activity in the country, according to Nikkei. The report claims that Apple plans to take advantage of low interest rates in Japan to procure the funds, which could be used to boost shareholder rewards and expand Japanese operations.

"Early this month, Apple started gauging potential demand for the yen-denominated bonds among regional banks, life insurers and other institutional investors," claims the Nikkei Asian Review. "The bonds will target Japanese investors but will likely be sold to overseas investors as well."

Apple has issued 2.8 billion euros ($3 billion) and 1.25 billion Swiss francs ($1.31 billion) in bonds since last year, and will reportedly benefit from an interest rate on bonds in Japan about 1 percentage point lower than in the United States. It was also reported in February that Apple was planning to raise $6.5 billion in a corporate debt sale. The funds are used for corporate purposes such as repurchasing of common stock and payment of dividends through Apple's capital return program.

Tag: bonds

Top Rated Comments

CarpalMac Avatar
81 months ago
/\ Has billions in his account, yet the ugliest guy in a suit I've ever seen....

More than just a suit, he represents all that is ugly in capitalism. Throw your money about then use and abuse your position to make, more money.

I'll be glad when he ******* off and finds another cash cow to feed off, leaving apple execs to focus on what is best for the company.
Score: 6 Votes (Like | Disagree)
thelookingglass Avatar
81 months ago
/\ Has billions in his account, yet the ugliest guy in a suit I've ever seen....

That's not uncommon among the super rich. :)

----------

Apple here in Japan SUCKS. My house is filled with Apple products - MBPs, iPhones, Retina iMac, Apple Tv, etc. They have ALL had physical damage issues. I don't believe there's a product from Apple in this country which doesn't have some level of blemish to scratch to marks straight out of the box. And Apple Japan customer service is worthless.

Well considering the Apple products in Japan are the same as the ones anywhere else in the world, that probably has little to do with Apple Japan, eh? :) Speaking of which, what's that got to do with Apple doing a bond issuance in Japan?
Score: 1 Votes (Like | Disagree)
fuchsdh Avatar
81 months ago
I'd like to know if the US government lowered the rate by 10% how many companies would bring cash back to the US and how much more money the US govt would have vs not have.

Would it be wise to allow this "bring the cash back" to the US for a span of 60-90 days without a huge penalty?

Problem is that we've done that in the past, which only encourages more of the same activity by companies. If you break your rules to get short term gains, you keep encouraging the same behavior you don't want companies to do.
Score: 1 Votes (Like | Disagree)
leo.andres.21 Avatar
81 months ago
ELI5 please?

Apple is planning to issue bonds in Japan, a low interest rate environment, meaning money is extremely cheap. Instead of using solely the cash they generated, they can use debt capital to reduce their overall cost. Debt interest also helps companies pay less in taxes.

Prudent debt is good for corporates.
Score: 1 Votes (Like | Disagree)
carlgo Avatar
81 months ago
I wonder if Apple is issuing the bonds on low interest, hoping that some day the US government will allow them to repatriate their oversea profits, without taking a huge tax hit, and pay it off.

Of course, my understanding of finance is incredibly limited, so I'm probably way off :D

Yes, that is what they are doing.
Score: 1 Votes (Like | Disagree)
rmatthewware Avatar
81 months ago
I wonder if Apple is issuing the bonds on low interest, hoping that some day the US government will allow them to repatriate their oversea profits, without taking a huge tax hit, and pay it off.

Of course, my understanding of finance is incredibly limited, so I'm probably way off :D
Score: 1 Votes (Like | Disagree)

Top Stories

Flat 2021 MacBook Pro Mockup Feature

Unreleased Apple Macs and Apple Watches Listed in Eurasian Database Ahead of Fall Product Launches

Monday August 2, 2021 9:34 am PDT by
Apple is preparing for a slew of fall product launches according to new filings that showed up today in the Eurasian Economic Commission database. There are listings for new Mac and Apple Watch models, all of which have previously unknown model identifiers that indicate that they're upcoming devices. There are six new Apple Watch identifiers, including A2473, A2474, A2475, A2476, A2477, and...
ifixit iphone12 mini

Apple to Make Space for Larger Batteries in iPhones, iPads, and MacBooks By Adopting Slimmer Peripheral Chips

Monday August 2, 2021 2:12 am PDT by
For future iPhones, iPads, and MacBooks, Apple plans to use smaller internal components in an effort to increase the size of the device's battery, according to DigiTimes. Image Credit: iFixit Specifically, Apple plans to "significantly increase the adoption" of IPDs or integrated passive devices for the peripheral chips in its products. These news chips will be slimmer in size and allow for...
Apple watch series 5 new case material made of titanium 091019

Titanium Apple Watch Series 6 Models Currently Widely Unavailable

Sunday August 1, 2021 6:21 am PDT by
Models of the Apple Watch Series 6 with titanium cases part of the "Apple Watch Edition" collection is currently widely unavailable for pick-up in several of Apple's retail stores in the United States and is unavailable entirely for delivery in major markets. Noted by Bloomberg's Mark Gurman in the latest edition of his "Power On" newsletter, titanium models of the Apple Watch Series 6,...
General Apps Messages

Android iMessage Competitor Puts Pressure on Apple

Friday July 30, 2021 3:15 am PDT by
Google and the three major U.S. carriers, including Verizon, AT&T, and T-Mobile, will all support a new communications protocol on Android smartphones starting in 2022, a move that puts pressure on Apple to adopt a new cross-platform messaging standard and may present a challenge to iMessage. Verizon recently announced that it is planning to adopt Messages by Google as its default messaging...
REC ASA CODE2016 20160601 205816 2745

Elon Musk Reportedly Demanded to Become Apple CEO as Part of Potential Tesla Acquisition [Update: Musk Denies]

Friday July 30, 2021 9:04 am PDT by
Tesla CEO Elon Musk reportedly once demanded that he be made Apple CEO in a brief discussion of a potential acquisition with Apple's current CEO, Tim Cook. The claim comes in a new book titled "Power Play: Tesla, Elon Musk and the Bet of the Century," as reviewed by The Los Angeles Times. According to the book, during a 2016 phone call between Musk and Cook that touched on the possibility of ...
iPhone 13 Wi Fi 6E feature update

Wi-Fi 6E Explained: What It Could Mean for iPhone 13 and Beyond

Monday August 2, 2021 8:00 am PDT by
The iPhone 13 is widely expected to come with Wi-Fi 6E capabilities, and while it may seem rather nuanced to the average consumer, with only improved speeds and being "up to date" in the realm of Wi-Fi technology, it's actually a fairly significant improvement, laying the groundwork for much of what we know the future holds. To truly understand Wi-Fi 6E, MacRumors sat down for an exclusive...
magic keyboard touch id

Apple Makes Magic Keyboard With Touch ID Available for Separate Purchase

Tuesday August 3, 2021 5:22 am PDT by
Apple has made the Magic Keyboard with Touch ID, which previously was only available with the purchase of the new 24-inch iMac, available for purchase individually for $149. Apple also retails the Magic Keyboard with Touch ID and a numeric keypad for $179. A standard Magic Keyboard without Touch ID or a numeric keypad is available for $99, and a new Magic Trackpad for $129. One major...
themorningshowcarrell

Apple Decided Not to Buy Reese Witherspoon's 'Hello Sunshine' Media Company

Monday August 2, 2021 2:02 pm PDT by
Reese Witherspoon's media company "Hello Sunshine" recently courted various buyers, and while Apple was one of parties interested in buying Hello Sunshine, the Cupertino company did not end up going through with the purchase. Hello Sunshine was valued at around $900 million thanks to its involvement in popular series like The Morning Show," "Big Little Lies," and "Little Fires Everywhere,"...
COVID19 Digital Wallet Apple Wallet

Australian Government Now Offering COVID-19 Digital Vaccination Certificates for Apple Wallet

Monday August 2, 2021 12:04 am PDT by
The Australian government has introduced support for adding COVID-19 vaccination digital certificates to Apple Wallet via the Express Plus Medicare app on iOS. Image credit: Tap Down Under As spotted by Tap Down Under, users who have received two doses of either the AstraZeneca or Pfizer vaccine now have access to the digital certificate through their Medicare online account or via the Medica...
mac pro new graphics

Apple Introduces New High-End Graphics Options for Mac Pro

Tuesday August 3, 2021 7:34 am PDT by
Apple today began offering new high-end graphics upgrade options for both the tower and rack versions of the Mac Pro desktop computer. This comes on the same day that Apple started selling the Magic Keyboard with Touch ID on a standalone basis. As noted by CNN Underscored's Jake Krol, the Mac Pro can now be configured with new AMD Radeon Pro W6800X, W6800X Duo, or W6900X graphics when...