Dell Plans $4B Bond Sale for Refinancing

Dell Technologies initiated a multi-billion-dollar bond sale to refinance near-term debt and bolster liquidity, according to preliminary regulatory filings on 9 September 2026. Joint co-issuers Dell International and EMC Corporation filed for a public offering of senior unsecured notes across four series. Bloomberg reported that the company targets approximately $4 billion in proceeds across maturities from three to 10 years, with the longest tranche carrying initial price talk of up to 140 basis points over U.S. Treasuries.

The syndicate managing the sale is led by Barclays, BofA Securities, Citigroup, Goldman Sachs, HSBC, J.P. Morgan, TD Securities, and Wells Fargo Securities. Dell plans to use net proceeds primarily to redeem its 4.900% First Lien Notes maturing in October 2026, allocating remaining funds to debt management and general corporate needs. Following the announcement, Dell shares rose over 3% in morning trading on 9 September 2026.

Fitch Ratings and S&P Global Ratings assigned BBB+ ratings to the new debt, while Moody's Ratings issued a Baa2 rating with a positive outlook. Commentary from S&P Global highlighted that Dell's AI-related backlog reached $95 billion. In addition, S&P Global noted an estimated 1.2 million legacy server base nearing upgrade cycles as corporate clients adapt data centers for agentic AI workloads.

Rating agencies expect debt metrics to remain stable. Moody's projected expanding EBITDA will lower adjusted debt-to-EBITDA back toward 1.0x over the next 12 to 18 months. Fitch also projected core EBITDA leverage, excluding Dell Financial Services, to improve toward 1.0x by fiscal 2028. Fitch added that annual pre-dividend free cash flow exceeding $10 billion supports debt service and Dell's plan to return 80% of adjusted free cash to shareholders. As of 31 July 2026, Dell held $11.6 billion in cash alongside an undrawn $6 billion revolving credit facility through 2031.