By Cristal Cody
Tupelo, Miss., Aug. 17 – General Motors Financial Co., Inc. priced $2.5 billion of senior notes (Baa3/BBB/BBB-) in three tranches on Monday, according to a market source.
The offering included $1.25 billion of 1.7% three-year notes priced at a spread of 155 basis points over Treasuries.
Initial price talk was in the 180 bps spread area.
The company sold $900 million of 2.7% seven-year notes at a Treasuries plus 225 bps spread versus talk at the 245 bps area.
General Motors Financial priced a $350 million add-on to its 3.6% notes due June 21, 2030 at a Treasuries plus 240 bps spread.
Price guidance was in the 260 bps spread area.
The company originally sold $750 million of the notes on June 17 at 99.709 to yield 3.635%, or a Treasuries plus 290 bps spread. The total outstanding is now $1.1 billion.
Barclays, BNP Paribas Securities Corp., Goldman Sachs & Co. LLC, Scotia Capital (USA) Inc., SG Americas Securities LLC and TD Securities (USA) LLC were the bookrunners.
Proceeds will be used for general corporate purposes.
The Fort Worth-based financing company is a subsidiary of automaker General Motors Co.
| Issuer: | General Motors Financial Co., Inc.
|
| Amount: | $2.5 billion
|
| Description: | Senior notes
|
| Bookrunners: | Barclays, BNP Paribas Securities Corp., Goldman Sachs & Co. LLC, Scotia Capital (USA) Inc., SG Americas Securities LLC and TD Securities (USA) LLC
|
| Trade date: | Aug. 17
|
| Ratings: | Moody’s: Baa3
|
| S&P: BBB
|
| Fitch: BBB-
|
| Distribution: | SEC registered
|
|
|
| Three-year notes
|
| Amount: | $1.25 billion
|
| Maturity: | Aug. 18, 2023
|
| Coupon: | 1.7%
|
| Spread: | Treasuries plus 155 bps
|
| Price guidance: | Treasuries plus 180 bps area
|
|
|
| Seven-year notes
|
| Amount: | $900 million
|
| Maturity: | Aug. 18, 2027
|
| Coupon: | 2.7%
|
| Spread: | Treasuries plus 225 bps
|
| Price guidance: | Treasuries plus 245 bps area
|
|
|
| 10-year notes
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| Amount: | $350 million reopening
|
| Maturity: | June 21, 2030
|
| Coupon: | 3.6%
|
| Spread: | Treasuries plus 240 bps
|
| Call features: | Make-whole call before March 21, 2030 at Treasuries plus 45 bps; thereafter at par
|
| Price guidance: | Treasuries plus 260 bps area
|
| Total outstanding: | $1.1 billion, including $750 million of notes priced June 17 at 99.709 to yield 3.635%, or Treasuries plus 290 bps
|
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