The potential bond sale comes as Verizon begins to raise the US$130bn it needs to take full ownership of Verizon Wireless, the largest US wireless provider.
Verizon has confirmed it intends to buy the British company Vodafone's 45% stake.
"Verizon subscribed a very large bridge loan to pay for the transaction," the source told AFP. "Over the next week or two, they will try to convert this transaction to bonds."
The size of the offering would surpass Apple's US$17bn bond sale launched in April. Analysts say there is a very good chance this would be the biggest loan ever.
Verizon plans to issue US$60.2bn in common stock to finance the deal and is expected to raise a similar sum in debt. It says the increase in cash flow from 100% control of Verizon Wireless should enable it to pay back the debt within a few years. The deal comes amid rising interest rates in the US and other markets.
Verizon chief financial officer Fran Shammo told analysts the company planned to move as quickly as possible. "The timeline is as short as we possibly can make it and what the market will bear," Shammo said.
Source: AFP via I-Net Bridge
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