Washington, May 27 (Bloomberg) -- America Online Inc., the world's largest online service, filed with the Securities and Exchange Commission to sell as much as $4.5 billion of debt securities, preferred stock and common stock.
Based outside Washington in Dulles, Virginia, the company said it would use proceeds from the sale for general corporate purposes. Those purposes may include working capital, capital expenditures, acquisitions, and the repayment of outstanding debt, according to a shelf filing with the SEC.
A shelf registration lets a company register securities in advance and sell them over a two-year period as financing needs arise. The terms of the securities are available at the time of the sale.
In addition, America Online has $450 million of securities from a previous shelf that remain unsold. As a result, the Internet service provider will be able to raise as much as $5 billion once the SEC approves today's filing.
American Online shares fell 4 5/16 to 116. Company shares have risen 50 percent so far this year.
May/27/1999 17:33
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