Chicago, March 3 – Vontier Corp. sold $1.6 billion of senior notes in a three-part offering (Ba1/BBB-/BBB-) on Wednesday, according to a market source and a company news release.
The company sold $500 million of 1.8% senior notes due 2026. The notes were talked with a spread in the 115 basis points area.
Also priced were $500 million of 2.4% senior notes due 2028. Initial spread talk was in the 135 bps area.
Additionally, the deal includes $600 million of 2.95% senior notes due 2031. Initial spread talk was in the 155 bps area.
The proceeds of the Rule 144A and Regulation S notes are expected to be used to repay debt, including in full its two-year term loan and $400 million of its three-year term loan. Remaining proceeds will be used for working capital and other general corporate purposes, including capital expenditures, potential acquisitions or strategic transactions.
The industrial technology company is based in Raleigh, N.C.
Rebecca Melvin and Paul A. Harris contributed to this article.
| Issuer: | Vontier Corp.
|
| Issue: | Senior notes
|
| Amount: | $1.6 billion
|
| Pricing date: | March 3
|
| Settlement date: | March 10
|
| Ratings: | Moody’s: Ba1
|
| S&P: BBB-
|
| Fitch: BBB-
|
| Distribution: | Rule 144A and Regulation S
|
|
|
| 2026 notes
|
| Securities: | Senior notes
|
| Amount: | $500 million
|
| Maturity: | 2026
|
| Coupon: | 1.8%
|
| Spread talk: | 115 bps area
|
|
|
| 2028 notes
|
| Securities: | Senior notes
|
| Amount: | $500 million
|
| Maturity: | 2028
|
| Coupon: | 2.4%
|
| Spread talk: | 135 bps area
|
|
|
| 2031 notes
|
| Securities: | Senior notes
|
| Amount: | $600 million
|
| Maturity: | 2031
|
| Coupon: | 2.95%
|
| Spread talk: | 155 bps area
|
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