May 12, 2020
With record low interest rates and global pandemic, ViacomCBS is seeking upwards of $2 billion in new debt offerings to help fund operations — notably streaming video — which include Paramount Pictures, Pluto TV, CBS All Access, Nickelodeon, CBS, Showtime Networks, MTV, Comedy Central and BET.
The funding comes on top of $2.5 billion in bonds ViacomCBS issued in April. The media company also has a $3.5 billion credit revolver.
“It means we are in excellent shape from a liquidity perspective,” CEO Bob Bakish said on last week’s fiscal call.
Bakish said the company plans to launch an international branded streaming video service to compliment All Access, Showtime OTT and Pluto TV in the United States. Showtime and All Access combined to reach 13.5 million subs in the fiscal quarter — up 50% from the previous-year period.
“This service will harness the full power of the of the ViacomCBS portfolio, creating a meaningful brand presence in streaming video in key markets around the world,” Bakish said.