International Paper, BNP, HCP, Southern Power price; bank, financial paper mixed

By Aleesia Forni and Cristal Cody

Virginia Beach, May 14 – International Paper Co., BNP Paribas SA, HCP Inc. and Southern Power Co. issued new bonds on Thursday, continuing the week’s high-grade primary market frenzy.

The market hosted a $2 billion issue of senior notes from International Paper, while BNP Paribas came to market with $1.5 billion of five-year senior notes.

HCP sold its new upsized $750 million offering of 10-year notes, and Southern Power priced $650 million of notes in tranches due 2018 and 2020.

In other primary happenings, Wisconsin Electric Power Co. and Arizona Public Service Co. each sold bond offerings, Federal Home Loan Banks priced $3 billion of two-year global bonds, Ally Financial Inc. priced an upsized $1.4 billion of senior notes, and Rabobank Nederland sold $1 billion of notes due 2025.

Not all potential issuers were met with a strong reception on Thursday.

Fossil Group Inc. withdrew a planned $300 million offering of senior notes due 2025 during the session.

Despite this, one source noted that “the market was strong today,” as $10.85 billion of investment-grade paper hit the tape.

In total, the week has absorbed more than $42 billion of new issuance.

In the secondary market, bank and financial paper was mixed during the session.

The Markit CDX North American Investment Grade series 23 index tightened 2 basis points to a spread of 64 bps on Thursday.

© 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.