Netflix plans to raise $2 billion in debt to expand content offer


Netflix announced that it plans to raise USD 2 billion to help fund the production and acquisition of new content.
The funds will be raised in the form of senior unsecured notes, denominated in dollars and euros, the streaming giant said in a release.
“Netflix intends to use the net proceeds from this offering for general corporate purposes, which may include content acquisitions, production and development, capital expenditures, investments, working capital and potential acquisitions and strategic transactions”, the company added.
This is the third time in a year that Netflix has raised debt this way. In October 2017, offered USD 1.6 billion in notes. In April 2018 there was another round for USD 1.9 billion, CNN reported.
Netflix said last year it plans to spend USD 8 billion on content in 2018. The company had already spent USDS 6.9 billion by the end of Q318, according to Reuters, and analysts estimate that it could exceed the expected figure.
The news comes after Netflix registered a record growth in the third quarter, adding 7 million new members. At the end of Q318, the service reached 137 million users globally (including free accounts).