Workday Announces Pricing of $2.5 Billion Senior Notes Offering

The planned retirement of $1.0 billion in existing notes would use proceeds from new debt carrying higher coupons.

Rhea-AI Summary

Workday (NASDAQ: WDAY) has priced a public offering of $2.5 billion in senior notes across four debt tranches. The offering comprises $750.0 million at 5.700% due 2029, $500.0 million at 6.000% due 2031, $750.0 million at 6.300% due 2033, and $500.0 million at 6.500% due 2036.

Workday expects the offering to close on October 23, 2026, subject to customary closing conditions. The company intends to use net proceeds to redeem, repay, repurchase, or otherwise retire its $1.0 billion of 3.500% notes due April 1, 2027 at or before maturity, with remaining net proceeds going toward general corporate purposes.

2 points · 0 major

MixediHow this balance works

How this balance works

Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

0 major · 4 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Moderate point. Forward-looking: it has not happened yet and may not happen.The priced offering provides for $2.5 billion in senior-note financing, with closing expected October 23, 2026. 5.1% of market cap
• Minor point. Forward-looking: it has not happened yet and may not happen.Planned proceeds use includes retiring $1.0 billion of 3.500% notes due April 1, 2027 at or before maturity.

Negative

• Minor point. Forward-looking: it has not happened yet and may not happen.$750.0 million of 5.700% senior notes due 2029 adds a debt obligation.
• Minor point. Forward-looking: it has not happened yet and may not happen.$500.0 million of 6.000% senior notes due 2031 adds a debt obligation.
• Minor point. Forward-looking: it has not happened yet and may not happen.$750.0 million of 6.300% senior notes due 2033 adds a debt obligation.
• Minor point. Forward-looking: it has not happened yet and may not happen.$500.0 million of 6.500% senior notes due 2036 adds a debt obligation.

Key Figures

Total senior notes offering: $2.5 billion aggregate principal amount 2029 notes: $750.0 million at 5.700% 2031 notes: $500.0 million at 6.000% +4 more

Total senior notes offering

$2.5 billion aggregate principal amount

Offering priced October 21, 2026

2029 notes

$750.0 million at 5.700%

Senior notes due 2029

2031 notes

$500.0 million at 6.000%

Senior notes due 2031

2033 notes

$750.0 million at 6.300%

Senior notes due 2033

2036 notes

$500.0 million at 6.500%

Senior notes due 2036

Existing notes to retire

$1.0 billion at 3.500%

Notes due April 1, 2027; retirement planned at or before maturity

Expected offering close

October 23, 2026

Subject to customary closing conditions

Key Terms

senior notes, aggregate principal amount, shelf registration statement, form s-3, +1 more

5 terms

senior notes financial

"$2.5 billion aggregate principal amount of senior notes"

Senior notes are a type of loan that a company borrows from investors, promising to pay it back with interest. They are called "senior" because in case the company faces financial trouble, these lenders are paid back before others. This makes senior notes safer for investors compared to other types of loans or bonds.

aggregate principal amount financial

"$2.5 billion aggregate principal amount of senior notes"

The aggregate principal amount is the total amount of money borrowed through a bond or loan that the borrower promises to repay. It’s like the original price tag on a loan or bond, showing how much money is involved in the deal. This number matters because it indicates the size of the debt and helps investors understand the scale of the borrowing.

shelf registration statement regulatory

"under an automatically effective shelf registration statement on Form S-3"

A shelf registration statement is a document a company files with regulators that allows it to sell shares or bonds quickly when it’s a good time to raise money. It’s like having a pre-approved plan ready so the company can act fast without going through lengthy paperwork each time they want to sell, making fundraising more flexible.

form s-3 regulatory

"shelf registration statement on Form S-3 previously filed by Workday"

Form S-3 is a legal document companies use to register their stock sales with the government, making it easier and faster for them to raise money by selling shares to investors. It’s like having a pre-approved shopping list that lets a company quickly sell new shares when they need funds, without going through a lengthy approval process each time.

prospectus supplement regulatory

"by means of a prospectus supplement and accompanying prospectus"

A prospectus supplement is an additional document provided alongside a company's main offering details, offering updated or extra information about a specific financial product being sold. It helps investors understand the latest terms, risks, and details of the investment, similar to how an update or revision clarifies or expands on original instructions, ensuring they have current and complete information before making a decision.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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PLEASANTON, Calif., Oct. 21, 2026 /PRNewswire/ -- Workday, Inc. (NASDAQ: WDAY), the trusted agentic platform for HR, finance, and IT, today announced that it has priced its underwritten, registered public offering of $2.5 billion aggregate principal amount of senior notes, consisting of $750.0 million aggregate principal amount of 5.700% senior notes due 2029, $500.0 million aggregate principal amount of 6.000% senior notes due 2031, $750.0 million aggregate principal amount of 6.300% senior notes due 2033, and $500.0 million aggregate principal amount of 6.500% senior notes due 2036. The offering is expected to close on October 23, 2026, subject to the satisfaction of customary closing conditions.

Workday intends to use the net proceeds from this offering to redeem, repay, repurchase, or otherwise retire the $1.0 billion in aggregate principal amount of its 3.500% notes due April 1, 2027 at or before their maturity and to use any remaining net proceeds for general corporate purposes.

Morgan Stanley, BofA Securities, Barclays, and Wells Fargo Securities are acting as joint book-running managers of the offering.

This offering is being made under an automatically effective shelf registration statement on Form S-3 previously filed by Workday with the Securities and Exchange Commission (the "SEC") and only by means of a prospectus supplement and accompanying prospectus. Before you invest, you should read the prospectus supplement and accompanying prospectus, as well as other documents Workday has filed or will file with the SEC for more complete information about Workday and this offering. These documents may be obtained for free by searching the SEC online database (EDGAR) on the SEC website at www.sec.gov.

Alternatively, copies of the preliminary prospectus supplement and accompanying prospectus, and, when available, the final prospectus supplement for the offering, may be obtained by contacting: Morgan Stanley & Co. LLC, 180 Varick Street, 2nd Floor, New York, New York 10014, Attention: Prospectus Department or by email at prospectus@morganstanley.com; BofA Securities, Inc., 201 North Tryon Street NC1-022-02-25, Charlotte, North Carolina 28255-0001, Attn: Prospectus Department, Toll-free: 1-800-294-1322, Email: dg.prospectus_requests@bofa.com; Barclays Capital Inc., c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 (or by email at barclaysprospectus@broadridge.com or telephone at 1-888-603-5847); or Wells Fargo Securities, LLC, 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402, Attn: WFS Customer Service, Telephone: +1-800-645-375, Email: wfscustomerservice@wellsfargo.com.

This press release shall not constitute an offer to sell, or the solicitation of an offer to buy, nor shall there be any sale of the notes in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

About Workday

Workday operates at the heart of the enterprise – HR, finance, and IT – where the margin for error is effectively zero. By tightly coupling AI with the context, guardrails, and trusted processes that run the business, Workday goes beyond AI that assists with work to agents that are capable of driving measurable outcomes. More than 11,500 organizations worldwide, including more than 65% of the Fortune 500, trust Workday to deliver. For more information about Workday, visit workday.com.

© 2026 Workday, Inc. All rights reserved. Workday and the Workday logo are trademarks of Workday, Inc. All other brand and product names are trademarks or registered trademarks of their respective holders.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among other things, statements regarding the anticipated terms of the offering, the anticipated closing of the offering, and the expected use of the net proceeds of the offering. Forward-looking statements can be identified by words such as "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect," "seek," "plan," and similar expressions. These forward-looking statements are based only on currently available information and our current beliefs, expectations, and assumptions. Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties, assumptions, and changes in circumstances that are difficult to predict and many of which are outside of our control. If the risks materialize, assumptions prove incorrect, or we experience unexpected changes in circumstances, actual results could differ materially from the results implied by these forward-looking statements, and therefore you should not rely on any forward-looking statements. Risks include, but are not limited to, risks described in our filings with the SEC, including our most recent report on Form 10-Q or Form 10-K and other reports that we have filed and will file with the SEC from time to time, which could cause actual results to vary from expectations. Workday assumes no obligation to, and does not currently intend to, update any such forward-looking statements after the date of this release, except as required by law.

 

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SOURCE Workday, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What are the rates and maturities of Workday's $2.5 billion senior notes offering?

The offering has four tranches: $750.0 million at 5.700% due 2029, $500.0 million at 6.000% due 2031, $750.0 million at 6.300% due 2033, and $500.0 million at 6.500% due 2036.

How does Workday plan to use the senior notes offering proceeds?

Workday intends to use net proceeds to retire $1.0 billion of 3.500% notes due April 1, 2027 at or before maturity. The retirement may involve redemption, repayment, repurchase, or another method. Remaining net proceeds are intended for general corporate purposes.