Global auto industry firms raise $155b to weather pandemic

Bloomberg

Automotive industry borrowers have raised $155 billion amid the coronavirus outbreak as the pandemic shutters showrooms and factories.
Companies worldwide have been drawing down on existing credit lines and seeking new credit deals to weather the health crisis as it hits demand for vehicles.
The $155 billion gathered in less than three months since mid-March is equivalent to the issuance in the eight-month period before global cities went into lockdown.
The $44 billion of bonds sold in the period is greater than the industry’s issuance in any single quarter. The $111 billion of loans raised in the period could match the sales of $133 billion seen in 2019 once about $18 billion of pending deals get completed.
General Motors Co., the industry’s biggest borrower, raised $21.6 billion of loans and sold $5.5 billion of bonds. GM, which had drawn down on a $16 billion revolving facility in March, subsequently added two more new loans.
GM tapped capital markets again this month. Automakers including Ferrari NV and Toyota Motor Corp. followed suit as some industry output resumed and countries began to lift restrictions on travel.
Companies in the Americas raised $50 billion of loans, the bulk of which came from drawdowns. They also sold $16 billion of bonds.
Besides major carmakers, auto parts suppliers such as Tenneco Inc. or parts retailers including AutoZone Inc., have also tapped the loan market.