New Issue: Textron prices $350 million 3.875% senior notes due 2025 at Treasuries plus 160 bps

By Aleesia Forni

Virginia Beach, Oct. 23 – Textron Inc. sold a $350 million issue of 3.875% senior notes due 2025 (Baa3/BBB-/) on Thursday with a spread of Treasuries plus 160 basis points, according to a market source and a FWP filed with the Securities and Exchange Commission.

The notes sold at the tight end of price talk.

Pricing was at 99.903 to yield 3.887%.

BofA Merrill Lynch and Morgan Stanley & Co. LLC were the joint bookrunners.

Proceeds will be used for general corporate purposes, which may include the redemption or repayment of debt, including the outstanding principal amount of its existing 6.2% notes due 2015.

The multi-industry company has units including aircraft, defense and finance. It is based in Providence, R.I.

Issuer:	Textron Inc.
Amount:	$350 million
Description:	Senior notes
Maturity:	March 1, 2025
Bookrunners:	BofA Merrill Lynch, Morgan Stanley & Co. LLC, Citigroup Global Markets Inc., Goldman Sachs & Co., J.P. Morgan Securities LLC
Senior co-managers:	MUFG, SMBC Nikko Securities America Inc., U.S. Bancorp Investments Inc.
Co-managers:	BNY Mellon Capital Markets, LLC, Fifth Third Securities, Inc., PNC Capital Markets LLC, Wells Fargo Securities, LLC, Williams Capital Group LP
Coupon:	3.875%
Price:	99.903
Yield:	3.887%
Spread:	Treasuries plus 160 bps
Trade date:	Oct. 23
Settlement date:	Nov. 6
Ratings:	Moody’s: Baa3
	Standard & Poor's: BBB-
Price talk:	Treasuries plus 165 bps area
Make-whole call:	Treasuries plus 25 bps prior to Dec. 1, 2024, then callable at par

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