Published on 5/9/2018 in the Prospect News High Yield Daily.
New Issue: OneMain/Springleaf prices upsized $900 million eight-year notes at par to yield 7 1/8%
By Paul A. Harris
Portland, Ore., May 9 – OneMain/Springleaf priced an upsized $900 million issue of Springleaf Finance Corp. non-callable eight-year senior notes (B1/B) at par to yield 7 1/8% in a Wednesday drive-by, according to market sources.
The issue size was increased from $500 million.
The yield printed in the middle of yield talk in the 7 1/8% area and in line with initial talk in the low 7% area.
Joint bookrunner Morgan Stanley & Co. LLC will bill and deliver. RBC Capital Markets LLC, Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. and SG CIB were also joint bookrunners.
The Evansville, Ind.-based consumer finance company plans to use the proceeds to redeem the remaining $400 million of OneMain Financial Holdings, LLC 7¼% senior notes due 2021 and for general corporate purposes. The additional proceeds resulting from the $400 million upsize of the issue will be used for general corporate purposes.
| Issuer: | Springleaf Finance Corp.
|
| Amount: | $900 million, increased from $500 million
|
| Maturity: | March 15, 2026
|
| Securities: | Senior notes
|
| Bookrunners: | Morgan Stanley & Co. LLC (bill and deliver), RBC Capital Markets LLC, Barclays, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Goldman Sachs & Co., SG CIB
|
| Co-managers: | Natixis, Deutsche Bank, Drexel
|
| Coupon: | 7 1/8%
|
| Price: | Par
|
| Yield: | 7 1/8%
|
| Spread: | 414 bps
|
| Call protection: | Make-whole call at Treasuries plus 50 bps, otherwise non-callable
|
| Trade date: | May 9
|
| Settlement date: | May 11
|
| Ratings: | Moody's: B1
|
| S&P: B
|
| Distribution: | SEC registered
|
| Price talk: | 7 1/8% area
|
| Marketing: | Quick to market
|
© 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.
