PayPal shares closed down nearly 0.7% on Monday, closing at $ 143.96 per share. In after-hours trading, the company’s stock price fell 0.2% to $ 143.66 per share.

Editor’s note: This article is from Tencent Technology , reviewed by Jinlu.

May 12 According to foreign media reports, on Monday, local time in the United States, digital payment platform PayPal announced that it had raised US $ 4 billion in the bond market, which highlights that companies that make life easier under the blockade can also borrow funds at a lower cost.

According to a person who has direct knowledge of the transaction, PayPal issued a $ 1 billion 10-year bond that is 160 basis points higher than the US Treasury yield, which is about 2.3%. In contrast, this is not as good as the commission rate PayPal charges US merchants for selling on its platform. In the past two months of the nationwide blockade, PayPal sales have soared.

S & P Global Ratings (S & P Global Ratings) rated PayPal’s bonds as BBB +, and the company also issued three-year, five-year and 30-year US $ 1 billion bonds on Monday, with yields of 1.35 %, 1.65% and 3.25%. PayPal stated that the offering is expected to end on May 18.

Since the funds have been earmarked for repayment of a $ 3 billion five-year revolving line of credit and used for general corporate purposes, S & P stated that new debt financing is basically “leveraged neutral” for PayPal It shows that it is much less affected by the new crown epidemic than its peers. So far this year, PayPal stock has soared 33%.

PeerIQ ’s team of analysts wrote in a weekly customer report: “PayPal is a direct beneficiary of the new coronavirus outbreak in many ways.” They pointed out that PayPal ’s coverage not only includes seeing higher online transactions The volume and more P2P payment merchants also include the recently increased households and businesses that want to obtain stimulus funds.

PayPal and its Venmo platform both allow American customers to deposit directly under the CARES ActGovernment bailout funds without waiting for paper checks. The company has always issued small business assistance under the Trump administration ’s iconic projects, and PayPal CEO Daniel Schulman emphasized this on the company ’s earnings conference call last week. He added that the company has already disbursed more than $ 1 billion in funds.

U.S. President Donald Trump has been urging more U.S. companies to resume operations, which prompted major U.S. stock indexes to rise and fall on Monday. The Dow Jones Industrial Average closed down 100 points. At the same time, investment-grade US companies continued to borrow at a record rate during the epidemic, and Goldman Sachs currently expects this year ’s bond issue to reach a record high of $ 1.5 trillion.

PayPal announced mixed results for the first quarter of this year, with earnings per share of US $ 0.66, which is lower than analysts ’general expectation of US $ 0.75. However, analysts pointed out that the regulator’s write-offs, revenue increased by 20% in April, May 1st is the largest trading day in its history, which is a sign of its growth during and after the epidemic.

PayPal shares closed down nearly 0.7% on Monday, closing at $ 143.96 per share. In after-hours trading, the company’s stock price fell 0.2% to $ 143.66 per share.