New Issue: KeyCorp prices $500 million 4.15% senior notes due 2025 at 103 bps spread

By Cristal Cody

Tupelo, Miss., Oct. 22 – KeyCorp sold $500 million of 4.15% seven-year senior medium-term notes at a spread of 103 basis points over Treasuries on Monday, on the tight side of guidance, according to a market source and an FWP filing with the Securities and Exchange Commission.

The notes (Baa1/BBB+/A-) priced at 99.934 to yield 4.161%.

KeyBanc Capital Markets Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC were the bookrunners.

Proceeds will be used to repay debt and for general corporate purposes.

Cleveland-based KeyCorp is a financial services company and parent company of KeyBank.

Issuer:	KeyCorp
Amount:	$500 million
Description:	Series O senior medium-term notes
Maturity:	Oct. 29, 2025
Bookrunners:	KeyBanc Capital Markets Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC
Senior co-managers:	Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC and RBC Capital Markets, LLC
Co-managers:	Academy Securities, Inc. and CastleOak Securities, LP
Coupon:	4.15%
Price:	99.934
Yield:	4.161%
Spread:	Treasuries plus 103 bps
Call features:	Non-callable
Trade date:	Oct. 22
Settlement date:	Oct. 29
Ratings:	Moody’s: Baa1
	S&P: BBB+
	Fitch: A-
Distribution:	SEC registered
Price guidance:	Treasuries plus 105 bps, plus or minus 2 bps; initial talk at Treasuries plus 120 bps area

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