Published on 10/17/2017 in the Prospect News Investment Grade Daily.
New Issue: Hospitality Properties Trust sells $400 million 3.95% notes due 2028 at 190 bps spread
By Cristal Cody
Tupelo, Miss., Oct. 17 – Hospitality Properties Trust sold $400 million of 3.95% senior notes due Jan. 15, 2028 (Baa2/BBB-) on Tuesday at 97.911 to yield 4.202%, according to a market source and an FWP filing with the Securities and Exchange Commission.
The notes priced at a spread of 190 basis points over Treasuries, on the tight side of guidance in the 195 bps area.
UBS Securities LLC, BBVA Securities Inc., Citigroup Global Markets Inc., Mizuho Securities USA Inc. and RBC Capital Markets, LLC were the bookrunners.
Proceeds will be used for general business purposes, including acquiring and investing in additional properties and repaying borrowings under the company’s revolving credit facility or other debt.
The real estate investment trust is based in Newton, Mass.
| Issuer: | Hospitality Properties Trust
|
| Amount: | $400 million
|
| Description: | Senior notes
|
| Maturity: | Jan. 15, 2028
|
| Bookrunners: | UBS Securities LLC, BBVA Securities Inc., Citigroup Global Markets Inc., Mizuho Securities USA Inc. and RBC Capital Markets, LLC
|
| Lead managers: | BofA Merrill Lynch, Morgan Stanley & Co. LLC, PNC Capital Markets LLC, Regions Securities LLC, U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC
|
| Co-managers: | BMO Capital Markets Corp., FTN Financial Securities Corp., Samuel A. Ramirez & Co., Inc. and SMBC Nikko Securities America, Inc.
|
| Coupon: | 3.95%
|
| Price: | 97.911
|
| Yield: | 4.202%
|
| Spread: | Treasuries plus 190 bps
|
| Call features: | Make-whole call at Treasuries plus 30 bps before July 15, 2027
|
| Trade date: | Oct. 17
|
| Settlement date: | Oct. 26
|
| Ratings: | Moody’s: Baa2
|
| S&P: BBB-
|
| Distribution: | SEC registered
|
| Price talk: | Treasuries plus 195 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.
