Investing.com -- Dell Technologies Inc (NYSE: DELL) has officially initiated a multi-billion-dollar bond sale to refinance near-term debt and bolster liquidity, according to preliminary prospectus documents filed Wednesday with the U.S. Securities and Exchange Commission (SEC).

In its SEC Form 424B2 filing, joint co-issuers Dell International L.L.C. and EMC Corporation disclosed a public offering of senior unsecured notes across four distinct series. Underwriting for the book-entry offering is being managed by a broad Wall Street syndicate led by Barclays, BofA Securities, Citigroup, Goldman Sachs, HSBC, J.P. Morgan, TD Securities, and Wells Fargo Securities.

While the preliminary SEC filing left specific offering figures blank pending final market pricing, reporting from Bloomberg indicates the company is targeting approximately $4 billion in total proceeds. Bloomberg reports that the four tranches will span maturities ranging from three to 10 years, with initial price talk on the longest-dated tranche carrying a spread of up to 140 basis points over U.S. Treasuries.

According to the SEC filing, net proceeds are earmarked primarily to redeem Dell’s 4.900% First Lien Notes maturing in October 2026, with remaining funds slated for general corporate purposes and debt management. The new notes carry joint and several downstream guarantees from Dell Technologies Inc., Denali Intermediate Inc., and Dell Inc., ranking equal in payment rights to all existing senior debt.

Credit rating agencies immediately evaluated the filing terms, with Fitch Ratings and S&P Global Ratings assigning 'BBB+' issue-level ratings to the co-issued debt, while Moody's Ratings rated the notes 'Baa2' with a positive outlook on Dell Inc.

Shares of Dell rose over 3% in Wednesday morning trading amid the news.

The balance sheet optimization arrives alongside explosive demand for AI infrastructure hardware. Rating commentary from S&P Global highlighted that Dell’s AI-related backlog has surged to $95 billion, supported by expanding enterprise demand for both specialized AI servers and core storage infrastructure.

Despite the new issuance, rating analysts project Dell’s debt metrics to remain manageable. Moody's noted that while gross leverage may temporarily rise by less than a quarter turn, expanding EBITDA should pull adjusted debt-to-EBITDA back toward 1.0x over the next 12 to 18 months.

Fitch similarly projected core EBITDA leverage, excluding Dell Financial Services, to improve toward 1.0x by fiscal 2028. Fitch emphasized that pre-dividend free cash flow exceeding $10 billion annually provides ample runway for Dell to maintain its commitment of returning 80% of adjusted free cash to shareholders while easily covering debt service.

Looking ahead, analysts view an enterprise server refresh as a multi-year catalyst for the hardware maker. S&P Global highlighted an estimated 1.2 million legacy server base nearing upgrade cycles as corporate clients adapt data centers for agentic AI workloads.

With $11.6 billion in cash balances as of July 31, 2026, and an undrawn $6 billion revolving credit facility through 2031, Dell enters this debt refinancing from a position of strong liquidity. Wall Street will now monitor final deal pricing as underwriters gauge institutional bond demand across the four tranches.