By Paul A. Harris
Portland, Ore., Nov. 12 – E*Trade Financial Corp. priced a $540 million issue of eight-year senior notes (Ba3/B+/) at par to yield 5 3/8% on Wednesday, according to a market source.
The yield printed in the middle of the 5¼% to 5½% yield talk.
J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, Credit Suisse Securities LLC and Goldman Sachs & Co. were the joint bookrunners for the public offering.
The New York-based financial services provider plans to use the proceeds, along with about $460 million of existing corporate cash, to redeem its 6¾% senior notes due 2016 and its 6% senior notes due 2017.
| Issuer: | E*Trade Financial Corp.
|
| Amount: | $540 million
|
| Maturity: | Nov. 15, 2022
|
| Securities: | Senior notes
|
| Bookrunners: | J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, Credit Suisse Securities LLC, Goldman Sachs & Co.
|
| Coupon: | 5 3/8%
|
| Price: | Par
|
| Yield: | 5 3/8%
|
| Spread: | 319 bps
|
| First call: | Nov. 15, 2017 at 104.031
|
| Trade date: | Nov. 12
|
| Settlement date: | Nov. 17
|
| Ratings: | Moody's: Ba3
|
| Standard & Poor's: B+
|
| Distribution: | SEC registered
|
| Price talk: | 5¼% to 5½%
|
| Marketing: | Quick to market
|
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