IntercontinentalExchange, GM Financial price as primary pace resumes; MassMutual firms

By Aleesia Forni

Virginia Beach, Nov. 19 – IntercontinentalExchange Inc., General Motors Financial Co., Inc., Bank of New York Mellon, Bunge Ltd. Finance Corp. and Protective Life Global Funding priced bonds on Thursday, bringing $8.2 billion of investment-grade paper to market.

The uptick in issuance followed a subdued session on Wednesday in light of the release of the Federal Reserve’s October meeting minutes, which pointed to a potential rate increase in December.

Bonds from MassMutual Global Funding II and Horace Mann Educators Corp., two of the handful of deals that priced on Wednesday, were trading better in the secondary on Thursday, a market source said.

Another source noted that Wednesday’s quieter session was a “non-event” and not a sign of broader market weakness.

“It just happened,” he added.

High-grade credit spreads were leaking wider during the early part of the session on Thursday and continued to weaken over the course of the trading day.

The Markit CDX North American Investment Grade 25 index was 3 basis points wider at a spread of 84 bps.

In the primary market, IntercontinentalExchange priced a $2.5 billion two-tranche offering of senior notes (A2/A) on Thursday, according to a market source and an FWP filed with the Securities and Exchange Commission.

The company sold $1.25 billion of 2.75% five-year notes at 110 bps over Treasuries and a $1.25 billion 3.75% tranche of 10-year bonds priced with a 150 bps spread over Treasuries.

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