BellSouth plans USD3 billion bond issue

BellSouth has revealed plans to raise USD3 billion in the US bond market to help fund its share of the USD41 billion acquisition of AT&T Wireless by Cingular Wireless, its mobile joint venture with SBC Communications. BellSouth, which owns 40% of Cingular, is liable for USD16.3 billion of the purchase price and aside from raising funds in the credit markets has been selling non-core assets to raise cash. In March 2004 it agreed to sell its stake in a group of Latin American wireless companies to Spain’s Telefonica Moviles for USD3.2 billion.