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Meta did not disclose the size of the offering, but said it would use the proceeds for capital expenditures, share repurchases, acquisitions or investments.
Among the high-flying megacap technology companies, Meta is the only one that does not have any debt on its books.
The company’s free-cash flow has been depleting as it charges ahead with its metaverse plans, which led the change in its name to Meta Platforms from Facebook (NASDAQ:META) last year.
In the second quarter ended June 30, Meta had $4.45 billion in free cash flow, compared with $8.51 billion a year ago and $8.53 billion in the prior quarter. Last week, the company also reported a drop in quarterly revenue for the first time.
Chief Financial Officer Dave Wehner said on a post-earnings conference call that company had a “substantial amount” in its buyback program and expects to continue with buybacks as part of its capital allocation strategy.
The company received an ‘A1’ rating from Moody’s (NYSE:MCO) and an ‘AA- rating’ and a ‘stable’ outlook from S&P.
