By Andrea Heisinger
New York, July 24 - American Express Credit Corp. was in the market Wednesday with a $3 billion sale of senior notes (A2/A-/A+) in three parts, a market source said.
A $1 billion tranche of 1.3% three-year notes priced at 99.977 to yield 1.308% with a spread of Treasuries plus 68 basis points. Initial price talk was in the 70 bps to 75 bps range over Treasuries.
There was also $1.2 billion of three-year floating-rate notes sold at par to yield Libor plus 51 bps. Price guidance was at the Libor equivalent to talk on the three-year fixed-rate notes.
Finally, there was $800 million of 2.125% five-year notes priced at 99.896 to yield 2.147% with a spread of 78 bps over Treasuries. Talk was initially in the low 90 bps area.
Bookrunners were Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Wells Fargo Securities LLC.
The New York-based financial services company was last in the U.S. bond market with a $750 million reopening of 1.75% notes due 2015 on Aug. 14, 2012.
| Issuer: | American Express Credit Corp.
|
| Issue: | Senior notes
|
| Amount: | $3 billion
|
| Bookrunners: | Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Wells Fargo Securities LLC
|
| Trade date: | July 24
|
| Settlement date: | July 29
|
| Ratings: | Moody's: A2
|
| Standard & Poor's: A-
|
| Fitch: A+
|
|
|
| Three-year fixed-rate notes
|
| Amount: | $1 billion
|
| Maturity: | July 29, 2016
|
| Coupon: | 1.3%
|
| Price: | 99.977
|
| Yield: | 1.308%
|
| Spread: | Treasuries plus 68 bps
|
| Call: | Non-callable
|
| Price talk: | 70 bps to 75 bps (initial)
|
|
|
| Three-year floaters
|
| Amount: | $1.2 billion
|
| Maturity: | July 29, 2016
|
| Coupon: | Libor plus 51 bps
|
| Price: | Par
|
| Yield: | Libor plus 51 bps
|
| Call: | Non-callable
|
| Price talk: | Libor equivalent to three-year fixed-rate notes
|
|
|
| Five-year notes
|
| Amount: | $800 million
|
| Maturity: | July 27, 2018
|
| Coupon: | 2.125%
|
| Price: | 99.896
|
| Yield: | 2.147%
|
| Spread: | Treasuries plus 78 bps
|
| Call: | Non-callable
|
| Price talk: | Low 90 bps area (initial)
|
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