(Sept 9): Uber Technologies Inc is looking to raise around €4 billion (US$4.7 billion or RM19.1 billion) from its debut five-part euro bond, the latest move by an American company to diversify its funding in Europe.

The ride-hailing app is selling fixed-rate securities with maturities ranging from three years to 20 years, according to a person familiar with the matter. Initial price discussions are in the range of 75 to 80 basis points over mid-swaps for the shortest tranche to around 200 basis points over for the longest, said the person, who asked not to be identified.

It is targeting €4 billion from the sale, though it has room to increase the size of the deal, according to separate people familiar with the matter.

Uber, which has previously only raised debt in dollars, is joining a record rush by American companies to raise euro bonds this year, according to data compiled by Bloomberg.

The move comes as the firm expands in Europe. It is in the process of buying Delivery Hero SE, with the board of the Germany-based company voting to accept Uber’s offer earlier this month.

Fitch Ratings cited the “broader geographic diversification and greater scale” arising from the acquisition when it assigned an A- score to the bond, higher than the BBB+ equivalent given by Moody’s Ratings and S&P Global.

Debt issuance by US non-financial corporates in European currencies is well on track to surpass the €128.6 billion annual all-time high set in 2025, based on data compiled by Bloomberg.

Goldman Sachs Group Inc, BNP Paribas SA, Bank of America Corp, Deutsche Bank AG and Morgan Stanley are managing the bond sale. The deal is expected to price later on Wednesday.

Uploaded by Magessan Varatharaja