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Stock impact report

Why Google just issued a rare 100-year bond [CNN]

International Business Machines Corporation (IBM) 
Last international business machines corporation earnings: 4/20 04:08 pm Check Earnings Report
US:NYSE Investor Relations: ibm.com/investor
Company Research Source: CNN
A version of this story appeared in CNN Business' Nightcap newsletter. To get it in your inbox, sign up for free here New York — Investors are pretty confident that Google's parent company, Alphabet, will still be a going concern in the year 2126. When a company needs to raise money, it can generally either sell stocks or sell bonds. This week, Google went the bond route. But the choice to include so-called century bond raised eyebrows for a few reasons. The tech giant on Tuesday issued an extremely rare corporate bond that matures 100 years from now, part of a multibillion-dollar borrowing spree the company is undertaking to fuel its AI ambitions. Now, let's just underline that for a second: Google, a nearly $4 trillion public company with more than $73 billion in free cash flow annually, is turning to debt markets to raise even more money. That's because even Google's $126 billion cash on hand starts to look pretty paltry when the company says it plans to double its AI sp Show less Read more
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