By Marisa Wong
Los Angeles, Aug. 4 – Lloyds Banking Group plc priced $2.5 billion of senior callable fixed-to-fixed rate notes (A3/BBB+/A) in two parts, according to FWP filings with the Securities and Exchange Commission.
Lloyds priced $1.25 billion of 4.716% notes due 2026 at par with a spread of 175 basis points over Treasuries. The interest rate resets on Aug. 11, 2025 to Treasuries plus 175 bps.
Lloyds also priced $1.25 billion of 4.976% notes due 2033 at par with a spread of 230 bps over Treasuries. The interest rate resets on Aug. 11, 2032 to Treasuries plus 230 bps.
Both tranches feature par call options on the reset dates.
Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, Lloyds Securities Inc., Scotia Capital (USA) Inc. and TD Securities (USA) LLC are the joint bookrunners for the 2026 notes.
Citigroup, Goldman Sachs, Lloyds Securities, TD Securities and Wells Fargo Securities, LLC are the joint bookrunners for the 2033 notes.
Proceeds will be used for general corporate purposes, according to a previously filed 424B2 filing with the SEC.
The retail and commercial bank is based in Edinburgh, with operational headquarters in London.
| Issuer: | Lloyds Banking Group plc
|
| Amount: | $2.5 billion
|
| Issue: | Senior callable fixed-to-fixed rate notes
|
| Co-managers: | BMO Capital Markets Corp. and Standard Chartered Bank
|
| Trustee: | Bank of New York Mellon
|
| Counsel to issuer: | Davis Polk & Wardwell London LLP; CMS Cameron McKenna Nabarro Olswang LLP (Scotland)
|
| Counsel to underwriters: | Allen & Overy LLP
|
| Pricing date: | Aug. 4
|
| Settlement date: | Aug. 11
|
| Ratings: | Moody’s: A3
|
| S&P: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| 2026 notes
|
| Amount: | $1.25 billion
|
| Maturity: | Aug. 11, 2026
|
| Bookrunners: | Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, Lloyds Securities Inc., Scotia Capital (USA) Inc. and TD Securities (USA) LLC
|
| Coupon: | 4.716%, resets on Aug. 11, 2025 to Treasuries plus 175 bps
|
| Price: | Par
|
| Yield: | 4.716%
|
| Spread: | Treasuries plus 175 bps
|
| Call option: | In whole on Aug. 11, 2025
|
| Cusip: | 53944YAT0
|
|
|
| 2033 notes
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| Amount: | $1.25 billion
|
| Maturity: | Aug. 11, 2033
|
| Bookrunners: | Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, Lloyds Securities Inc., TD Securities (USA) LLC and Wells Fargo Securities, LLC
|
| Coupon: | 4.976%, resets on Aug. 11, 2032 to Treasuries plus 230 bps
|
| Price: | Par
|
| Yield: | 4.976%
|
| Spread: | Treasuries plus 230 bps
|
| Call option: | In whole on Aug. 11, 2032
|
| Cusip: | 53944YAU7
|
|
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