Netflix Returns to Investment-Grade Bond Market on July 21, Issues 2036 Debt at +95bp Spread

Netflix returned to the investment-grade corporate bond market on July 21, issuing bonds due 2036 at a spread of 95 basis points above U.S. Treasuries, according to sources familiar with the matter. The streaming giant plans to use the proceeds to repay approximately $1 billion in debt maturing later this year, with remaining funds allocated for general corporate purposes.

The offering comes as Netflix faces headwinds, with its stock down 46% over the past year and its 2056-maturity bonds trading at 92.94 per $100 face value, marking a one-year intraday low. The company's first investment-grade bond issuance in 2024—a $1.8 billion offering that drew over 10 times demand—contrasts sharply with the current market skepticism over its growth trajectory.