Australia and New Zealand Banking, EnLink, Stifel tap market; AT&T tightens; CDX firms

By Cristal Cody

Eureka Springs, Ark., July 11 – Investment-grade primary action on Monday included deals from Australia and New Zealand Banking Group, Ltd., EnLink Midstream Partners, LP and Stifel Financial Corp.

Australia and New Zealand Banking Group priced $1.5 billion notes in two parts.

EnLink Midstream Partners brought an upsized $500 million of 10-year senior notes on the tight side of guidance.

Stifel Financial priced a $200 million reopening of its 4.25% senior notes due July 18, 2024 during the session.

Also, New York Life Global Funding sold $500 million of 10-year notes.

The Markit CDX North American Investment Grade index ended about 1 basis point tighter at a spread of 72 bps.

In the secondary market, AT&T Inc.’s 4.125% notes due 2026 were active and traded 6 bps better over the day.

Raymond James Financial, Inc.’s 3.625% senior notes due 2026 earlier traded 13 bps tighter than where the notes were seen on Friday.

Sunoco Logistics Partners Operations LP’s 3.9% senior notes due 2026 were 4 bps better.

Australia and New Zealand Banking price

Australia and New Zealand Banking Group priced $1.5 billion notes (Aa2/AA-/AA-) in two parts, including a reopening, on Monday, according to a market source.

The company sold $1 billion of 1.6% notes due July 15, 2019 at Treasuries plus 85 bps, in line with guidance in the 85 bps area.

The bank priced $500 million in a tap of its 2.3% notes due June 1, 2021 at 97 bps over Treasuries, compared to talk in the 100 bps area, plus or minus 3 bps. The total outstanding for the issue is $1.35 billion.

ANZ Securities Inc., BofA Merrill Lynch, Goldman Sachs & Co. and RBC Capital Markets LLC were the lead managers.

The financial services company is based in Melbourne.

EnLink sells $500 million

EnLink Midstream Partners priced an upsized $500 million of 4.85% 10-year senior notes on the tight side of guidance at 345 bps over Treasuries on Monday, according to a market source, company release and an FWP filing with the Securities and Exchange Commission.

The notes were talked at 350 bps over Treasuries.

The notes due July 15, 2026 (Ba2/BBB-/BBB-) priced at 99.859 to yield 4.868%.

The deal was upsized from $400 million.

BofA Merrill Lynch, J.P. Morgan Securities LLC and SunTrust Robinson Humphrey, Inc. were the bookrunners.

Proceeds will be used to repay outstanding debt under the company’s revolving credit facility and for general partnership purposes.

EnLink is a Dallas-based midstream energy services provider.

Stifel brings $200 million tap

Stifel Financial printed a $200 million reopening of its 4.25% senior notes due July 18, 2024 with a spread of 260 bps over Treasuries on Monday, according to a market source.

BofA Merrill Lynch, Keefe, Bruyette & Woods and Morgan Stanley & Co. LLC were the bookrunners.

The company originally sold $300 million of the notes on July 15, 2014 at 99.196 to yield 4.35% and a spread of 180 bps over Treasuries. The total outstanding is $500 million.

Proceeds will be used to repay the company’s outstanding 5.375% senior notes due 2022 and for other general corporate purposes, according to a 424B3 filing with the Securities and Exchange Commission.

Stifel is a St. Louis-based financial holding company for banking, securities and financial services businesses, including Stifel, Nicolaus & Co., Inc.

New York Life raises $500 million

New York Life Global Funding sold $500 million of 2.35% FA-backed notes due July 14, 2026 (Aaa/AAA/) at Treasuries plus 93 bps on Monday, a market source said.

The notes priced on the tight side of guidance of 95 bps area, plus or minus 2 bps.

The deal was upsized from $350 million.

Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc. were the lead managers.

New York Life Global is a unit of New York-based mutual insurance company New York Life Insurance Co.

AT&T stronger

AT&T’s 4.125% notes due 2026 (Baa1//A-) firmed 6 bps to 158 bps bid going out on Monday, according to a market source.

The company priced a $900 million reopening of the bonds on May 3 at Treasuries plus 150 bps.

The notes originally were priced on Jan. 29 in a $1.5 billion offering at 195 bps over Treasuries.

AT&T is a Dallas-based telecommunications company.

Raymond James tightens

Raymond James’ 3.625% senior notes due 2026 traded better at 209 bps offered early Monday compared to where the notes were seen on Friday at 222 bps offered, according to a market source.

Raymond James sold $500 million of the notes (Baa2/BBB/) on Thursday at a spread of 225 bps over Treasuries.

The financial services company is based in St. Petersburg, Fla.

Sunoco improves

Sunoco Logistics Partners’ 3.9% notes due 2026 firmed 4 bps from Friday to 250 bps offered in secondary trading early Monday, according to a market source.

Sunoco Logistics sold $550 million of the notes (Baa3/BBB/BBB) on Thursday at 255 bps plus Treasuries.

Philadelphia-based Sunoco transports and stores crude oil and natural gas.

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