New Issue: Ventas Realty prices $800 million of senior notes in two tranches

By Cristal Cody

Tupelo, Miss., March 22 – Ventas Realty LP sold $800 million of senior notes (Baa1/BBB+/BBB+) in two tranches on Wednesday, according to a market source and an FWP filing with the Securities and Exchange Commission.

The company placed $400 million of 3.1% notes due Jan. 15, 2023 at 99.28 to yield 3.235%, or 130 basis points over Treasuries.

Ventas priced $400 million of 3.85% 10-year notes at 99.196 to yield 3.948%. The notes were sold with a Treasuries plus 155 bps spread.

Both tranches priced on the tight side of guidance.

BofA Merrill Lynch, J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc., UBS Securities LLC and Wells Fargo Securities LLC were the bookrunners for the notes due 2023.

BofA Merrill Lynch, JPMorgan, Credit Agricole Securities (USA) Inc., Jefferies LLC, MUFG, RBC Capital Markets, LLC and TD Securities (USA) LLC were the bookrunners on the 10-year notes.

The notes are guaranteed by Ventas, Inc.

Proceeds will be used for working capital and general corporate purposes.

The real estate investment trust for housing and health care properties is based in Chicago.

Issuer:	Ventas Realty LP
Guarantor:	Ventas, Inc.
Amount:	$800 million
Description:	Senior notes
Trade date:	March 22
Settlement date:	March 29
Ratings:	Moody’s: Baa1
	S&P: BBB+
	Fitch: BBB+
Distribution:	SEC registered
Notes due January 2023
Amount:	$400 million
Maturity:	Jan. 15, 2023
Bookrunners:	BofA Merrill Lynch, J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc., UBS Securities LLC and Wells Fargo Securities LLC
Senior co-managers:	BMO Capital Markets Corp., BBVA Securities Inc., Credit Suisse Securities (USA) LLC, Mizuho Securities USA Inc., Morgan Stanley & Co. LLC and SMBC Nikko Securities America, Inc.
Co-managers:	Credit Agricole Securities (USA) Inc., Jefferies LLC, MUFG, RBC Capital Markets, LLC and TD Securities (USA) LLC
Junior co-managers:	BB&T Capital Markets, BNP Paribas Securities Corp., Capital One Securities,	Inc., Fifth Third Securities, Inc. and Williams Capital Group, LP
Coupon:	3.1%
Price:	99.28
Yield:	3.235%
Spread:	Treasuries plus 130 bps
Call features:	Make-whole call before Dec. 15, 2022 at price equal to par plus Treasuries plus 20 bps; thereafter at par
Price guidance:	Treasuries plus 135 bps area, plus or minus 5 bps
10-year notes
Amount:	$400 million
Maturity:	April 1, 2027
Bookrunners:	BofA Merrill Lynch, J.P. Morgan Securities LLC, Credit Agricole Securities (USA) Inc., Jefferies LLC, MUFG, RBC Capital Markets, LLC and TD Securities (USA) LLC
Senior co-managers:	BMO Capital Markets Corp., BBVA Securities Inc., Credit Suisse Securities (USA) LLC, Mizuho Securities USA Inc., Morgan Stanley & Co. LLC and SMBC Nikko Securities America, Inc.
Co-managers:	Barclays, Citigroup Global Markets Inc., UBS Securities LLC and Wells Fargo Securities LLC
Junior co-managers:	BB&T Capital Markets, BNP Paribas Securities Corp., Capital One Securities, Inc., Fifth Third Securities, Inc. and Williams Capital Group, LP
Coupon:	3.85%
Price:	99.196
Yield:	3.948%
Spread:	Treasuries plus 155 bps
Call features:	Make-whole call before Jan. 1, 2027 at price equal to par plus Treasuries plus 25 bps; thereafter at par
Price guidance:	Treasuries plus 160 bps area, plus or minus 5 bps

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