By Aleesia Forni
Virginia Beach, Oct. 29 – American Express Credit Corp. sold $1 billion of three-year notes in two tranches on Thursday, according to a market source and two separate FWP filings with the Securities and Exchange Commission.
The sale (A2/A-/A+) included $750 million of 1.875% notes due 2018, which sold with a spread of 85 basis points over Treasuries.
The notes sold at 99.991 to yield 1.878%.
Pricing came inside initial guidance set in the 100 bps area.
There was also $250 million of floating-rate notes due 2018 priced at par to yield Libor plus 78 bps.
The floaters were talked at the Libor equivalent to the fixed-rate tranche.
Bookrunners were Credit Suisse Securities (USA) LLC, BofA Merrill Lynch and UBS Securities LLC.
Proceeds will be used for general corporate purposes.
American Express Credit is a New York-based subsidiary of credit card issuer and travel-related services provider American Express Co.
| Issuer: | American Express Credit Corp.
|
| Issue: | Medium-term senior notes, Series F
|
| Amount: | $1 billion
|
| Bookrunners: | Credit Suisse Securities (USA) LLC, BofA Merrill Lynch, UBS Securities LLC
|
| Co-managers: | BMO Capital Markets Corp., RBS Securities Inc., TD Securities (USA) LLC
|
| Junior co-managers: | Drexel Hamilton, LLC, Samuel A. Ramirez & Company, Inc.
|
| Trade date: | Oct. 29
|
| Settlement date: | Nov. 5
|
| Ratings: | Moody’s: A2
|
| Standard & Poor’s: A-
|
| Fitch: A+
|
| Distribution: | SEC-registered
|
|
|
| Fixed-rate notes
|
| Amount: | $750 million
|
| Maturity: | Nov. 5, 2018
|
| Coupon: | 1.875%
|
| Price: | 99.991
|
| Yield: | 1.878%
|
| Spread: | Treasuries plus 85 bps
|
| Call: | At par starting 31 days before maturity
|
| Price talk: | Treasuries plus 100 bps area
|
|
|
| Floating-rate notes
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| Amount: | $250 million
|
| Maturity: | Nov. 5, 2018
|
| Coupon: | Libor plus 78 bps
|
| Price: | Par
|
| Yield: | Libor plus 78 bps
|
| Call: | At par starting 31 days before maturity
|
| Price talk: | Libor equivalent of fixed-rate notes
|
|
|
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