Italian technology investor Bending Spoons Sp A is seeking $1.5 billion in debt to fund its acquisition-led growth strategy. The company is marketing $1 billion of five-year senior secured notes and a $500 million euro tranche, with yields expected in the low 10% and low 9% areas, respectively. The debt, rated BB-, is positioned toward the higher end of the junk credit spectrum. The offering will test investor confidence in Bending Spoons' strategy amid a more selective leveraged-finance market. Rising global interest rates, higher energy prices, and AI threats have increased borrowing costs in Europe's high-yield market.
Bending Spoons has built its business by acquiring and overhauling software companies, including AOL, Vimeo, Evernote, We Transfer, Eventbrite, and Airtable. CEO Luca Ferrari sees falling software valuations as acquisition opportunities, despite concerns that AI could replace some software services. Bending Spoons shares have surged 61% since its IPO in July, reflecting investor optimism about its growth potential.
Source: Bloomberg Markets · Summarized by HeadlinesBriefing