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UPDATE 1: RBC to Gather Investor Feedback on $1.6B Yahoo! Refi by April 17 With Plans to Potentially Launch Early Next Week
Wed Apr 15, 2026 10:45 AM ET: Lead left RBC is gathering investor feedback by this Friday, April 17, for a $1.6 billion refinancing deal for Yahoo! with plans to potentially launch the syndication as early as next week, according to a source familiar with the deal.
The source noted that the leveraged loan and high-yield bond structure for Yahoo!’s deal, which will be used to refinance its debt due September 2027, is still up in the air during the premarketing session.
Yahoo!’s offering is expected to be structured with a $1.1 billion five-year leveraged loan and a $500 million five-year noncall-one high-yield bond via lead RBC, as reported, with initial price talk on the loan coming at SOFR+550 bps with 98.5 OID, while the bond is coming in the high 9% area. Sources cautioned that terms of the deal were not finalized and subject to change.
The source noted that one positive factor investors should consider about Yahoo!’s deal is the fact that the company has had four consecutive quarters of revenue growth.
Yahoo!’s existing 2027 SOFR+550 bps term loan B was last indicated today at 98.25/99, according to Solve.
Apollo declined to comment. RBC and Yahoo! did not respond to requests for comment.
Original Story 10:50 a.m. UTC on April 14, 2026
Yahoo! Premarkets $1.6B Leveraged Loan, HY Bond to Refi 2027 Debt Amid Ongoing Software Selloff
Yahoo! is premarketing this week a $1.6 billion leveraged loan and high-yield bond offering to refinance its debt maturing in September 2027 amid continuing volatility in the software sector, according to sources.
RBC is leading the web portal company’s deal, which consists of a $1.1 billion five-year leveraged loan and a $500 million five-year noncall-one high-yield bond, according to sources. Initial price talk on the loan is coming at SOFR+550 bps with 98.5 OID while the bond is coming in the high 9% area, sources said.
One high-yield bond investor looking at Yahoo!’s offering noted their firm was not interested in participating, given the structure and the continued selloff in the software-related sector in recent weeks. Although RBC may try to launch the deal this week, the investor added, the severity of negative moves in the software sector may cause a delay unless the market sees a few strong days.
Software names that have traded down in the secondary market as a result from AI-driven volatility in recent weeks include Conga, Qualtrics and Coupa, among others.
Verizon Media was acquired by Apollo from Verizon in 2021 for $5 billion and then later renamed to Yahoo!, according to a press release.
Yahoo!’s existing 2027 SOFR+550 bps term loan B was last indicated today, Tuesday, April 14, at 97.92/98.7, according to Solve.
Yahoo! holds a B-/B- credit rating from S&P Global Ratings and Fitch Ratings. In an S&P ratings note from March, the credit ratings agency said it forecasts that Yahoo!-branded sites and search engine will generate $30 million to $40 million of free operating cash flow in 2026, although cash flow will remain somewhat hampered by technology modernization costs.
Octus has concluded a primary analysis of Yahoo! that is now available for lenders in the premarketing data room HERE.
Yahoo!’s capital structure as of March 31, 2025, is shown below:
Apollo declined to comment. RBC and Yahoo! did not respond to requests for comment.
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