Published on 2/4/2019 in the Prospect News Investment Grade Daily.
New Issue: Essex Portfolio prices $350 million 4% 10-year notes at 137.5 bps over Treasuries
By Cristal Cody
Tupelo, Miss., Feb. 4 – Essex Portfolio, LP sold $350 million of 4% 10-year guaranteed senior notes on Monday at a spread of Treasuries plus 137.5 basis points, according to an FWP filing with the Securities and Exchange Commission.
The notes (Baa1/BBB+/BBB+) priced at 99.188 to yield 4.099%.
Wells Fargo Securities LLC, Citigroup Global Markets Inc., J.P. Morgan Securities LLC, U.S. Bancorp Investments Inc., Jefferies LLC and MUFG were the bookrunners.
Essex Property Trust, Inc. is the guarantor.
Proceeds will be used to repay debt under the company’s $1.2 billion unsecured line of credit facility and its $35 million unsecured working capital line of credit facility and for other general corporate and working capital purposes.
Palo Alto, Calif.-based Essex Portfolio is a real estate investment trust.
| Issuer: | Essex Portfolio, LP
|
| Guarantor: | Essex Property Trust, Inc.
|
| Amount: | $350 million
|
| Description: | Senior notes
|
| Maturity: | March 1, 2029
|
| Bookrunners: | Wells Fargo Securities LLC, Citigroup Global Markets Inc., J.P. Morgan Securities LLC, U.S. Bancorp Investments Inc., Jefferies LLC and MUFG
|
| Senior co-managers: | Barclays, BB&T Capital Markets, BNP Paribas Securities Corp., Deutsche Bank Securities Inc. and Mizuho Securities USA Inc.
|
| Co-managers: | Capital One Securities, Inc., Regions Securities LLC and Scotia Capital (USA) Inc.
|
| Coupon: | 4%
|
| Price: | 99.188
|
| Yield: | 4.099%
|
| Spread: | Treasuries plus 137.5 bps
|
| Call feature: | Make-whole call before Dec. 1, 2028 at Treasuries plus 25 bps; thereafter at par
|
| Trade date: | Feb. 4
|
| Settlement date: | Feb. 11
|
| Ratings: | Moody’s: Baa1
|
| S&P: BBB+
|
| Fitch: BBB+
|
| Distribution: | SEC registered
|
© 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.
