Amazon issues $6 billion; DirecTV, AmEx, Morgan Stanley also price; DirecTV tightens

By Aleesia Forni and Cristal Cody

Virginia Beach, Dec. 2 – Amazon.com Inc., DirecTV Holdings LLC, American Express Co. and Morgan Stanley & Co. Inc. were among the issuers pricing more than $12.4 of investment-grade bonds on Tuesday.

Amazon.com faced some pushback from investors with its new $6 billion trade, with the new issue spreads on its five-part deal unmoved from initial price thoughts.

The deal follows Monday’s $17 billion megadeal from Medtronic Inc.

In other primary happenings, DirecTV issued $1.2 billion of 10-year notes, American Express sold $600 million of subordinated notes, and Morgan Stanley offered $2.25 billion of notes.

Plains All American Pipeline, LP and PAA Finance Corp. sold $1.15 billion of senior notes.

There was also a $1.25 billion sale of senior notes priced by National Australia Bank during Tuesday’s session.

The first week of December has already seen $33.8 billion of new issuance in just two sessions, already more than halfway toward what was expected to be around a $60 billion month.

Investment-grade bond spreads improved modestly over the session, while new issues traded mostly better, according to market sources.

The Markit CDX North American Investment Grade series 23 index firmed 1 basis point to a spread of 62 bps.

DirecTV’s 3.95% notes due 2024 tightened nearly 10 bps in aftermarket trading, according to a trader.

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