By Devika Patel
Knoxville, Tenn., July 26 – Fannie Mae sold $6 billion of floating-rate notes in three tranches on Thursday, according to a news release.
The notes were the first based on the Secured Overnight Financing Rate, the agency said.
The company sold $2.5 billion of six-month notes with a coupon of Secured Overnight Financing Rate plus 8 basis points, $2 billion of one-year notes with a coupon of Secured Overnight Financing Rate plus 12 bps and $1.5 billion of 18-month notes with a coupon of Secured Overnight Financing Rate plus 16 bps.
The Secured Overnight Financing Rate is a broad measure of the cost of borrowing cash overnight collateralized by Treasury securities.
Barclays, Nomura Securities International, Inc. and TD Securities (USA) LLC were the lead managers.
Fannie Mae is a mortgage credit provider based in Washington, D.C.
| Issuer: | Fannie Mae
|
| Description: | Floating-rate notes
|
| Amount: | $6 billion
|
| Bookrunners: | Barclays, Nomura Securities International, Inc. and TD Securities (USA) LLC
|
| Trade date: | July 26
|
| Settlement date: | July 30
|
|
|
| Six-month notes
|
| Amount: | $2.5 billion
|
| Maturity: | Six months
|
| Coupon: | Secured Overnight Financing Rate plus 8 bps
|
|
|
| One-year notes
|
| Amount: | $2 billion
|
| Maturity: | One year
|
| Coupon: | Secured Overnight Financing Rate plus 12 bps
|
|
|
| 18-month notes
|
| Amount: | $1.5 billion
|
| Maturity: | 18 months
|
| Coupon: | Secured Overnight Financing Rate plus 16 bps
|
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