By Cristal Cody
Chicago, Sept. 14 – Sumitomo Mitsui Financial Group, Inc. sold $850 million of 2.93% 20-year subordinated notes (A2/BBB+) on Monday, according to an FWP filed with the Securities and Exchange Commission.
The notes priced at par with a Treasuries plus 110 basis points spread. Talk had been in the Treasuries plus 130 bps area, revised from earlier talk in the 140 bps area.
SMBC Nikko Securities America, Inc., Goldman Sachs & Co. LLC, Citigroup Global Markets Inc. and J.P. Morgan Securities LLC are joint lead managers and joint bookrunners for the notes.
The notes will be callable in whole upon the occurrence of changes in Japanese tax law or changes in Japanese regulatory capital requirements.
Proceeds from the notes will be used to extend loans to subsidiary Sumitomo Mitsui Banking Corp., which will use the loan proceeds for general corporate purposes.
The issuer sold a $5 billion concurrent senior note offering in three parts on Monday.
The company has applied to list the notes on the Luxembourg Stock Exchange.
The bank holding company is based in Tokyo.
| Issuer: | Sumitomo Mitsui Financial Group, Inc.
|
| Issue: | Subordinated notes
|
| Amount: | $850 million
|
| Maturity: | Sept. 17, 2041
|
| Bookrunners: | SMBC Nikko Securities America, Inc., Goldman Sachs & Co. LLC, Citigroup Global Markets Inc. and J.P. Morgan Securities LLC
|
| Co-managers: | Barclays, BNP Paribas, BofA Securities, Inc., Daiwa Capital Markets America Inc., Nomura Securities International, Inc. and UBS Securities LLC
|
| Trustee: | Bank of New York Mellon
|
| Coupon: | 2.93%
|
| Price: | Par
|
| Yield: | 2.93%
|
| Spread: | Treasuries plus 110 bps
|
| Call features: | No call, except for tax event
|
| Trade date: | Sept. 13
|
| Settlement date: | Sept. 17
|
| Ratings: | Moody’s: A2
|
| S&P: BBB+
|
| Distribution: | SEC registered
|
| Price talk: | Treasuries plus 130 bps area; revised from 140 bps area
|
| Cusip: | 86562MCK4
|
|
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
