SEB, PNC Bank, Broadridge tap primary market; Swedish Export plans deal; Charter improves

By Cristal Cody

Tupelo, Miss., Dec. 4 – Deal volume included nearly $4 billion of investment-grade bonds brought to the primary market on Wednesday.

Skandinaviska Enskilda Banken AB sold $1.75 billion of senior notes in two tranches.

PNC Bank, NA priced $1.4 billion of subordinated notes in two parts.

Broadridge Financial Solutions, Inc. priced a $750 million registered offering of 10-year senior notes following fixed income investor calls held in the previous session.

Meanwhile, Fannie Mae announced it would forgo issuing a Benchmark note on Wednesday, its last scheduled funding opportunity of 2019.

Coming up on Thursday, Swedish Export Credit Corp. plans to price a dollar-denominated offering of four-year global notes.

High-grade issuers have priced about $10 billion of bonds week to date, nearing the $15 billion to $20 billion of volume expected by market sources.

The Markit CDX North American Investment Grade 33 index firmed more than 1 basis point on Wednesday to end at a spread of 50 bps.

In the secondary market, Charter Communications, Inc.’s 4.8% senior secured notes due March 1, 2050 traded about 4 bps better than where the notes were reopened on Monday in a $1.3 billion add-on.

SEB prices $1.75 billion

Skandinaviska Enskilda Banken sold $1.75 billion of senior notes (Aa2/A+/AA-) in two tranches on Wednesday, according to a market source.

A $500 million offering of three-year floating-rate notes priced at Libor plus 64.5 bps.

SEB sold $1.25 billion of 2.2% three-year fixed-rate notes at a spread of 62 bps over Treasuries.

BofA Securities, Inc., Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and Skandinaviska Enskilda Banken were the bookrunners.

Skandinaviska Enskilda Banken is a Swedish financial group based in Stockholm.

PNC Bank brings $1.4 billion

PNC Bank sold $1.4 billion of subordinated notes (A2/A-/A+) in two tranches via Citigroup Global Markets Inc., J.P. Morgan Securities and PNC Capital Markets LLC on Wednesday, according to a market source.

A $750 million tranche of floating-rate notes due Dec. 9, 2022 priced at Libor plus 43 bps, tighter than initial talk in the Libor plus 54 bps area.

PNC Bank sold $650 million of 2.028% three-year fixed-to-floating-rate notes at a spread of Treasuries plus 45 bps. The notes will convert to a floating rate after the initial fixed-rate period.

Initial price talk was in the Treasuries plus 55 bps spread area.

PNC Bank is a subsidiary of PNC Financial Services Group, Inc., a Pittsburgh, Pa.-based financial services holding company.

Broadridge prices $750 million

In the registered offering on Wednesday, Broadridge Financial Solutions sold $750 million of 2.9% 10-year senior notes (Baa1/BBB+/BBB+) at a spread of 115 bps over Treasuries, according to a market source and an FWP filing with the Securities and Exchange Commission.

Initial talk was in the Treasuries plus 137.5 bps area.

The notes priced at 99.717 to yield 2.933%.

Bookrunners were J.P. Morgan Securities, BofA Securities, Morgan Stanley, Wells Fargo Securities LLC, Barclays, BNP Paribas Securities Corp., TD Securities (USA) LLC and U.S. Bancorp Investments, Inc.

Broadridge Financial is a Lake Success, N.Y.-based producer of goods and services for securities processing, clearing and outsourcing and for investor communications.

Swedish Export Credit plans deal

Swedish Export Credit is offering dollar-denominated global notes due Dec. 12, 2023 (Aa1/AA+/) in new supply expected Thursday, a market source said.

Initial price talk is in the mid-swaps plus 18 bps area.

BofA Securities, Deutsche Bank Securities and J.P. Morgan Securities are the bookrunners.

Swedish Export Credit is a Stockholm-based government-owned financial services company for the Swedish export industry.

Charter notes firm

In secondary trading on Wednesday, Charter Communications’ 4.8% senior secured notes due March 1, 2050 (Ba1/BBB-/BBB-) improved to the 236 bps bid area, according to a market source.

Subsidiaries Charter Communications Operating, LLC and Charter Communications Operating Capital Corp. priced a $1.3 billion tap of the notes on Monday at a spread of Treasuries plus 240 bps.

Initial talk was in the Treasuries plus 255 bps area.

Charter originally sold the notes in a $1.5 billion offering on Oct. 15 at a spread of Treasuries plus 260 bps. The total outstanding is now $2.8 billion.

The bonds are guaranteed by all of the issuers’ subsidiaries that guarantee the obligations of Charter Communications Operating, LLC under the company’s credit agreement.

The broadband communications company is based in Stamford, Conn.

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