Kraft to sell $9.5 billion debt to buy Cadbury: report

NEW YORK (BestGrowthStock) – Kraft Foods Inc (KFT.N: ) on Thursday launched a 4-part, $9.5 billion debt sale to help finance its acquisition of British confectioner Cadbury (CBRY.L: ), IFR reported.

Kraft is planning to sell $1 billion of 3.25-year notes at a yield spread of 137.5 basis points over comparable Treasuries, said IFR, a Thomson Reuters service.

The company is planning to sell $1.75 billion of 6-year notes at 185 basis points over Treasuries, $3.75 billion of 10-year bonds at 185 basis points over Treasuries and $3 billion of 30-year bonds at 200 basis points over Treasuries.

BNP Paribas, Citigroup, Deutsche Bank, HSBC and Royal Bank of Scotland are joint lead managers on the deal.

Investing Basics

(Reporting by Ciara Linnane; Editing by James Dalgleish)

Kraft to sell $9.5 billion debt to buy Cadbury: report