By Marisa Wong and Cristal Cody
Los Angeles, March 2 – American Express Co. disclosed details of its three-part notes issuance (A2/BBB+/A) comprised of two series due 2025 and one series due 2027 in an FWP filed Wednesday with the Securities and Exchange Commission.
The two parts due March 4, 2025 included a $500 million tranche of floating-rate notes priced at par with a SOFR plus 93 basis points coupon.
The second part of the 2025 set is $1.75 billion of 2.25% notes priced at 99.899 to yield 2.285%, or a spread of 80 bps to Treasuries, 25 bps low to talk in the 105 bps area.
The five-year tranche arrived as $1.75 billion of 2.55% notes priced at 99.907 to yield 2.57%, or a 100 bps spread over Treasuries. The tranche also came 25 bps low to talk, in this case in the 125 bps area.
All three tranches feature a par call beginning 31 days prior to the applicable maturity date.
A previous 424B2 filing had the deal structured as a two-part offering, as previously reported.
Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC are the joint bookrunning managers for the offering.
Proceeds will be used for general corporate purposes.
The credit card services company is based in New York.
| Issuer: | American Express Co.
|
| Amount: | $4 billion
|
| Issue: | Senior notes
|
| Bookrunners: | Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC
|
| Co-managers: | MUFG, NatWest Markets Securities Inc., SMBC Nikko Securities America, Inc., U.S. Bancorp Investments, Inc.
|
| Junior co-managers: | Samuel A. Ramirez & Co. Inc., Siebert Williams Shank & Co., LLC
|
| Trustee: | Bank of New York Mellon
|
| Counsel to issuer: | In-house counsel
|
| Counsel to underwriters: | Cleary Gottlieb Steen & Hamilton LLP
|
| Call option: | In whole or in part at par beginning 31 days prior to the applicable maturity date
|
| Trade date: | March 1
|
| Settlement date: | March 4
|
| Ratings: | Moody’s: A2
|
| S&P: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| Floaters
|
| Amount: | $500 million
|
| Issue: | Floating-rate notes
|
| Maturity: | March 4, 2025
|
| Coupon: | SOFR plus 93 bps
|
| Price: | Par
|
| Yield: | SOFR plus 93 bps
|
|
|
| 2025 fixed-rate notes
|
| Amount: | $1.75 billion
|
| Issue: | Fixed-rate notes
|
| Maturity: | March 4, 2025
|
| Coupon: | 2.25%
|
| Price: | 99.899
|
| Yield: | 2.285%
|
| Spread: | Treasuries plus 80 bps
|
| Price talk: | Treasuries plus 105 bps area
|
|
|
| 2027 fixed-rate notes
|
| Amount: | $1.75 billion
|
| Issue: | Fixed-rate notes
|
| Maturity: | March 4, 2027
|
| Coupon: | 2.55%
|
| Price: | 99.907
|
| Yield: | 2.57%
|
| Spread: | Treasuries plus 100 bps
|
| Price talk: | Treasuries plus 125 bps area
|
|
|
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