Coupons on Workday's $2.5 billion note sale range from 5.7% to 6.5%, exceeding the 3.5% rate on $1 billion of debt it plans to retire before or at its April 2027 maturity.
The notes are divided among four maturity dates: $750 million due in 2029 at 5.7%, $500 million due in 2031 at 6%, $750 million due in 2033 at 6.3% and $500 million due in 2036 at 6.5%.
Workday plans to direct part of the financing’s net proceeds to its $1 billion in 3.5% notes due April 1, 2027, which it may retire ahead of schedule or at maturity. Any net proceeds not applied to those notes are earmarked for general corporate purposes.
The notes are scheduled to be issued Oct. 23, pending completion of the standard closing process.
