New Issue: Sempra Energy prices $750 million 3.25% 10-year senior notes at 115 bps spread

By Cristal Cody

Tupelo, Miss., June 6 – Sempra Energy sold $750 million of 3.25% 10-year senior notes (Baa1/BBB+/BBB+) on Tuesday at a spread of Treasuries plus 115 basis points, on the tight side of talk, according to a market source and an FWP filing with the Securities and Exchange Commission.

The notes priced at 99.694 to yield 3.286%.

Citigroup Global Markets Inc., RBC Capital Markets, LLC, U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC were the bookrunners.

Proceeds will be used to repay outstanding commercial paper that bears interest rates of 1.4% per year or less and matures at various dates in June.

The holding company for gas and electric utility subsidiaries is based in San Diego.

Issuer:	Sempra Energy
Amount:	$750 million
Description:	Senior notes
Maturity:	June 15, 2027
Bookrunners:	Citigroup Global Markets Inc., RBC Capital Markets, LLC, U.S. Bancorp Investments, Inc. and Wells Fargo Securities, LLC
Co-managers:	Barclays, BBVA Securities Inc., Deutsche Bank Securities Inc., HSBC Securities (USA) Inc. and Mizuho Securities USA LLC
Coupon:	3.25%
Price:	99.694
Yield:	3.286%
Spread:	Treasuries plus 115 bps
Call features:	Make-whole call before March 15, 2027 at Treasuries plus 20 bps; thereafter at par
Trade date:	June 6
Settlement date:	June 9
Ratings:	Moody’s: Baa1
	S&P: BBB+
	Fitch: BBB+
Distribution:	SEC registered
Price guidance:	Treasuries plus 115 bps-120 bps area

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.