Netflix Plans to Sell $800M in Senior Notes

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Netflix said it intends to offer to sell $800 million in senior notes.

The streaming VOD company has been expanding its original content, with plans to spend $6 billion on programming this year. With just $5 billion in cash flow, the company needs to borrow to continue spending at that rate.

The company said the proceeds from the offering will be used for general corporate purposes, which may include content acquisitions, capital expenditures, investment, working capital and potential acquisitions and strategic transactions.

The interest rate, redemption provisions, maturity date and other terms of the notes will be set in negotiations between Netflix and the initial purchasers, the company said.

Jon Lafayette
Jon Lafayette

Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.