Noble, Hudson Pacific price notes; Sumitomo, Thermo Fisher plan sales

By Devika Patel

Knoxville, Tenn., Sept. 24 – The high-grade bond market was fairly active on Tuesday, with two new deals pricing and two announced.

Los Angeles-based REIT Hudson Pacific Properties, LP sold $400 million of 3.25% senior notes due Jan. 15, 2030.

Houston-based Noble Energy Inc., a crude oil and natural gas exploration and production company, priced $1 billion of notes in two parts.

Tokyo-based Sumitomo Mitsui Financial Group Inc., a banking and financial company, intends to sell dollar-denominated fixed-rate senior notes and Waltham, Mass.-based Thermo Fisher Scientific Inc., a science technology company, said it will conduct a sale of dollar-denominated fixed-rate senior notes in two parts.

Hudson Pacific prices

Hudson Pacific Properties priced $400 million of 3.25% senior guaranteed notes due Jan. 15, 2030 on Tuesday at a spread of 170 basis points over Treasuries.

The notes will be guaranteed by Hudson Pacific Properties, Inc.

The notes priced at 99.268 to yield 3.335%.

Wells Fargo Securities LLC and BofA Securities, Inc. were the bookrunners.

Proceeds will be used to repay all or a portion of the company’s five-year term loan due April 2020, to repay all or a portion of the debt under its revolving credit facility and/or for general corporate purposes.

Noble sells two tranches

Noble Energy priced $1 billion of notes in two tranches.

Noble sold $500 million of 10-year 3.25% notes at a Treasuries plus 160 bps spread. These notes priced at 99.982 to yield 3.252%.

A $500 million tranche of 30-year 4.2% notes were sold at a Treasuries plus 210 bps spread. These notes priced at 99.93 to yield 4.204%.

BofA Securities, Inc., Mizuho Securities USA Inc., MUFG, BMO Capital Markets Corp., Citigroup Global Markets Inc., DnB NOR Markets Inc., J.P. Morgan Securities LLC, PNC Capital Markets LLC, Scotia Capital (USA) Inc. and TD Securities (USA) LLC were the bookrunners.

Proceeds will be used to purchase or redeem all of the company’s $1 billion of 4.15% notes due 2021 in a tender offer on Sept. 30.

Sumitomo plans notes

Sumitomo Mitsui Financial plans to offer dollar-denominated fixed-rate senior notes.

The notes are non-callable.

SMBC Nikko, Goldman Sachs & Co., Citigroup Global Markets Inc. and BofA Securities, Inc. are the bookrunners.

Proceeds will be used to extend unsecured loans to SMBC.

Thermo Fisher eyes notes

Thermo Fisher Scientific is expected to sell dollar-denominated fixed-rate senior notes in two parts. The company also plans a five-part euro-denominated offering of fixed-rate senior notes.

The notes feature a make-whole call and then a par call.

BofA Securities, Inc., Goldman Sachs & Co., Credit Suisse Securities (USA) LLC, HSBC Securities (USA) Inc. and J.P. Morgan Securities LLC are the bookrunners for the dollar-denominated offering.

Proceeds will be used to redeem the company's $750 million 6% senior notes due 2020, its €425 million 1.5% senior notes due 2020, its $400 million 5% senior notes due 2021, its $1 billion 4.5% senior notes due 2021, its $1.1 billion 3.6% senior notes due 2021 and its $800 million 3.3% senior notes due 2022.

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