If you have a new account but can't post, please email Niamh on [email protected] for help to verify your email address. Thanks :)
New AMA with a US police officer (he's back!). You can ask your questions here

Why would diageo be issuing €2bn in bonds?


  • Registered Users Posts: 9,649 ✭✭✭ Marcusm

    Would it be for a share buyback program

    or would it be used to acquire another company?

    Corporate treasury is a dynamic, continuous process. Anti abuse rules means that if it was dedicated to a specific purpose then such must be disclosed if it would effect the price. “General corporate purposes” is usually what it means and can encompass buybacks, acquisitions, dividend financings, repayment of existing credit facilities etc. There is nothing to expressly tie those two actions and Diageo shares are not generally priced in EUR.

  • Registered Users Posts: 212 ✭✭ Mach 3

    Diageo are for the last decade or so, buying and developing in emerging markets, namely Africa. Their Capex spend is quite large on these projects but they are focused on the long term.