Nokia has raised â‚¬1.75 billion in five and ten year bonds in its first international deal, according to the Financial Times.
Demand for the bonds totalled â‚¬9 billion as investors flock to high quality company debt because it offers greater yields than government bonds. Indeed, corporate bond markets have broken all-time record volumes this month.
Despite warnings of a shrinking market last week, investors flocked to Nokia because it is a household name - a business they know and understand - with strong cash flows and a rarity value that provides diversity for portfolios, the FT reported analysts saying.
The report added, "Although it is estimated Nokia paid more than double the spread over risk-free government debt than they would have this time last year, the overall cost of funding was still relatively low."