November 27, 2012, 1:27 PM

Amazon raises $3 billion in a bond sale

The No. 1 e-retailer is closing on a $1.16 billion purchase of its headquarters campus.

Lead Photo Inc., while selling plenty of Kindles and other items on the Monday after Thanksgiving, also sold $3 billion in bonds on Cyber Monday.

The e-retailer, No. 1 in the Internet Retailer Top 500 Guide, said in its filing with the U.S. Securities and Exchange Commission that the funds would be used for general corporate purposes. However, it also noted that it expected to close in the fourth quarter on the $1.16 billion purchase of 11 buildings, comprising 1.8 million square feet of office space, that make up its corporate campus in Seattle.

Amazon currently leases those buildings and announced in October plans to buy them.

Amazon disclosed plans to sell $750 million in notes due in 2015 at an interest rate of 0.65%, 38 basis points (0.38%) above the yield on benchmark Treasury bonds; $1 billion in notes due in 2017 at 1.2%, a premium of 63 basis points above Treasuries; and $1.25 billion in notes due in 2022 at 2.5%, a premium of 93 basis points.

The bond sale was underwritten by Morgan Stanley & Co. LLC and Goldman, Sachs & Co.

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