Blue Chips Raising Funds Amid a Covid Bankruptcy Wave
- High-grade companies may borrow more due to low costs
- Windstream Holdings debt sale may price as early as Monday
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Credit investors seem eager to snatch up bonds in the primary markets on the heels of last week’s big fund inflows even as distressed companies continue to file for bankruptcy.
Blue-chip companies may raise as much as $35 billion in new debt in the next five days, in line with last week’s volume, according to an informal poll of primary dealers. The syndicate desks have increased their August supply projections to as much as $75 billion from as low as $50 billion at the end of July as companies might borrow more to lock in record-low borrowing costs.