Cash-Strapped Apple Borrows Billions to Help Pay February's Rent

By Gary Cutlack on at

Despite having around £118bn to its name in various accounts held under the names of Irish farmers and office cleaners in Luxembourg, iPhone and iPad moneybags Apple has sold a new $6.5bn (£4.3bn) bond -- effectively taking out a loan to cover debt and dividend repayments.

According to Bloomberg, Apple was initially looking for a modest $5bn – its fourth multi-billion debt offering in four years, as part of its tax-shuffling arrangements – before boosting it to $6.5bn because everyone still wants a piece of it.

The move is for simple business reasons, with Apple wanting to fund its everyday operations using cheap borrowed money and, in turn, protecting its offshore cash hoard from taxes payable on bringing it into the US.

So, at some point in the future, its execs can then afford to pay Elon Musk to fly them away to Earth II, even if the unthinkable should happen and the iPhone stops being a licence to treat the planet like a cash machine. [Telegraph]