Why do companies that are flush with cash issue bonds?
Both $Apple(AAPL.US$ and $Meta Platforms(META.US$ recently issued large corporate bond offerings. My question is - why would a profitable company with positive Free Cash Flow raise debt when they don't need to? I don't understand why they don't spend down the cash that they already have.
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Tyler Maltz : If interest rates are low enough it actually makes sense to borrow rather than spend your own money.