What Apple Cash Will Cost You In 2019
Apple Cash, the $20-billion cash infusion that has put Apple in a position to buy up to 30% of the company, has now entered the holiday shopping season.
The cash infusion, which is set to run through January, is the second such infusion this year, following the $2 billion it offered last year.
Apple has raised more than $30 billion from a mix of private and public investors, including private equity firms, venture capitalists, and banks, including Bank of America and JPMorgan Chase.
Apple cash, which will be paid out in monthly installments starting in 2019, will have an initial valuation of $24.2 billion, according to a Wall Street Journal report.
Apple will pay out at least $4 billion over the next two years, according a person familiar with the deal.
Apple will use the cash to buy back its stock and raise new capital.
The $20 billion cash infusion is set in motion by a combination of Apple’s purchase of Beats Electronics and the sale of Beats Music.
The Beats deal is also one of the largest acquisitions in history.
It comes amid Apple’s attempts to increase its presence in the music and entertainment world.
Apple announced the deal with Beats Music last month, and Apple Cash will be included in the company’s annual shareholder meeting on March 2.