New Issue: GATX sells $300 million 4.55% notes due 2028 with 160 bps spread

By Cristal Cody

Tupelo, Miss., May 3 – GATX Corp. sold $300 million of 4.55% long 10-year senior notes (Baa2/BBB) on Thursday at par to yield 160 basis points over Treasuries, according to a market source and an FWP filing with the Securities and Exchange Commission.

The notes priced on the tight side of deal guidance in the Treasuries plus 160 bps to 165 bps area.

Citigroup Global Markets Inc., BofA Merrill Lynch and Morgan Stanley & Co. LLC were the bookrunners.

Proceeds will be used to repay $250 million of the company’s outstanding 2.375% senior notes due July 30, 2018 and for general corporate purposes.

GATX is a transportation leasing company based in Chicago.

Issuer:	GATX Corp.
Amount:	$300 million
Description:	Senior notes
Maturity:	Nov. 7, 2028
Bookrunners:	Citigroup Global Markets Inc., BofA Merrill Lynch and Morgan Stanley & Co. LLC
Senior co-managers:	Mizuho Securities USA LLC and U.S. Bancorp Investments, Inc.
Co-managers:	BMO Capital Markets Corp., BNY Mellon Capital Markets, LLC, KeyBanc Capital Markets Inc., Loop Capital Markets LLC, MUFG, PNC Capital Markets LLC and Williams Capital Group, LP
Coupon:	4.55%
Price:	Par
Yield:	4.55%
Spread:	Treasuries plus 160 bps
Call feature:	Make-whole call before Aug. 7, 2028 at greater of par or Treasuries plus 25 bps; thereafter at par
Trade date:	May 3
Settlement date:	May 7
Ratings:	Moody’s: Baa2
	S&P: BBB
Distribution:	SEC registered
Price talk:	Treasuries plus 160 bps-165 bps area

© 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.