American Honda, NWB price upsized deals; month’s supply tops $119 billion; spreads ease

By Aleesia Forni

Virginia Beach, April 30 – American Honda Finance Corp. and Nederlandse Waterschapsbank NV priced upsized deals to close out a month that topped sources’ expectations.

More than $119 billion of new issuance came to market in April, besting predictions of around $90 billion to $100 billion.

Nederlandse Waterschapsbank sold a $600 million add-on to its existing 1.25% notes due 2017 in line with price guidance.

The issue’s size is now $2.6 billion, including the $2 billion of notes priced in two tranches in September 2014.

Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Scotia Capital were the bookrunners for the Rule 144A and Regulation S deal.

Meantime, American Honda Finance attracted around $750 million of orders for its new $550 million issue of notes, which is due May 5, 2017.

The issue priced around 10 basis points tight of initial guidance.

Deutsche Bank Securities and Mizuho Securities were the bookrunners.

Investment-grade bond spreads were again wider to close Thursday’s session.

The Markit CDX North American Investment Grade series 23 index eased 2 bps to a spread of 63 bps.

Meanwhile, Apple Inc.’s bonds were mixed in the secondary market following the company’s announcement earlier this week that it will continue to access the domestic and international debt markets to fund its expanded capital return program.

Banks and brokers CDS costs were higher on Thursday, according to a market source.

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