Great field work on Virtualization.info today about the fact that investors are buying heaps of VMware stock, signalling that something is up.
A small excerpt:
Monday’s SEC filings shows that Cisco posted a prospectus on raising $4 billion in senior bonds. The book building is run by all the major investment banks and is closing on February 17.
Cisco must be really confident for such a major issuance in these market conditions, but Standard & Poors is giving the senior unsecured notes an A+ rating with a stable outlook.
Cisco will use $500 million of the $4 billion to repay short term debt. When combined with sizeable cash holdings, this leaves them with with $4.7 billion in cash at the US parent company. According to CNET that amount excluded cash holdings at subsidiaries overseas.
wishful thinking by both parties!
Cisco is the best internet equipment industry. It’s very famous in the world.