Paramount Kicks Off High-Grade Bond Sale for Warner Bros. Deal Brian Smith and Michael Gambale Paramount Skydance Corp. has kicked off its long-awaited investment-grade bond sale, the largest portion of a syndicated $52 billion debt package for its acquisition of Warner Bros. Discovery Inc. The US media giant is offering first-lien US dollar-denominated bonds in eight tranches, with maturities ranging from two to 40 years, according to a person familiar with the matter.

The firm is looking to raise about $32 billion from the sale, making it one of the biggest of its kind. Initial price talk for the longest-dated note, due in 2066, is a spread of about 3.65 percentage points above Treasuries, the person said, asking not to be identified because they’re not authorized to speak publicly. Paramount’s financing package also includes about $12.4 billion-equivalent of junk bonds across US dollars and euros, as well as $7.5 billion-equivalent of loans in both currencies.

Both offerings are underway. The debt is coming to market after a months-long delay and at a higher cost for Paramount, as a surge in Treasury yields has raised borrowing costs for companies. The bonds and loans were initially expected to be sold around midyear, but the financing was put on hold after the Warner deal faced litigation until two settlements last week cleared the way for the offering.