By Cristal Cody
Chicago, April 11 – Bayport Polymers LLC priced $650 million of notes in two parts (//A-) on Monday, on the heels of fixed-income investor calls last week, according to a market source.
During the marketing campaign, the notes were expected to come in tranches due in five, seven and 10 years, however the middle tranche was dropped on Monday during pricing.
The Rule 144A and Regulation S deal is comprised of $350 million of five-year notes and $300 million of 10-year notes, accordingly.
The five-year notes priced with a 4.743% coupon for a Treasuries plus 195 basis points spread, right on top of talk in the 195 bps area.
The 10-year tranche priced with a 5.14% coupon, and a spread of Treasuries plus 235 bps. The spread on the second tranche also arrived right on top of talk in the 235 bps area.
The notes are guaranteed by Borealis AG.
Citigroup Global Markets Inc., Credit Agricole CIB, Mizuho Securities USA Inc. and SMBC Nikko Securities America Inc. worked as bookrunners.
The issuer is a joint venture between TotalEnergies Petrochemicals & Refining USA, Inc. (TPRI), Borealis and NOVA Chemicals. A year after the joint venture started, Borealis acquired NOVA Chemicals, leaving the joint venture between the two other entities.
| Issuer: | Bayport Polymers LLC
|
| Guarantor: | Borealis AG
|
| Amount: | $650 million
|
| Issue: | Notes
|
| Bookrunners: | Citigroup Global Markets Inc., Credit Agricole CIB, Mizuho Securities USA Inc. and SMBC Nikko Securities America Inc.
|
| Trade date: | April 11
|
| Ratings: | Fitch: A-
|
| Distribution: | Rule 144A and Regulation S
|
| Marketing: | Investor calls
|
|
|
| Five-year notes
|
| Amount: | $350 million
|
| Maturity: | April 14, 2027
|
| Coupon: | 4.743%
|
| Spread: | Treasuries plus 195 bps
|
| Price talk: | Treasuries plus 195 bps area
|
|
|
| 10-year notes
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| Amount: | $300 million
|
| Maturity: | April 14, 2032
|
| Coupon: | 5.14%
|
| Spread: | Treasuries plus 235 bps
|
| Price talk: | Treasuries plus 235 bps area
|
|
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