MassMutual Global prices high-grade sole deal; Time Warner notes trade mixed in secondary

By Cristal Cody and Aleesia Forni

Virginia Beach, Dec. 12 - The high-grade bond market saw only one deal hit the primary on Thursday.

MassMutual Global Funding II came to market with a $250 million sale of two-year floating-rate notes.

The issue priced at par to yield Libor plus 12 basis points.

The notes sold at the tight end of talk.

With no new deals expected tomorrow, the week's supply is expected to come in at roughly $10.2 billion.

This total falls far shy of estimates of a $20 billion week.

"Things are just winding down," a syndicate source said of the lack of primary activity on Thursday. "It's the end of the year."

In the secondary market, Time Warner Inc.'s new 4.05% notes due 2023 tightened 3 bps, while the company's tranche of 5.25% notes due 2043 headed out flat to 1 bp wider, a source said.

The Markit CDX North American Investment Grade series 21 index was unchanged late afternoon at a spread of 70 bps.

"Spreads look to be unchanged to [a] bit tighter," a trader said.

MassMutual new issue

MassMutual Global Funding priced $250 million of floating-rate notes (Aa2/AA+/AA+) due Dec. 11, 2015 at par to yield Libor plus 12 bps, according to an informed source.

Pricing was at the tight end of talk.

The notes were sold in a Rule 144A and Regulation S transaction.

Bookrunners were BofA Merrill Lynch and Deutsche Bank Securities Inc.

The issuing unit of Massachusetts Mutual Life Insurance Co. is based in Springfield, Mass.

Time Warner mixed

Time Warner's $1 billion two-part offering of notes (Baa2/BBB/BBB+) sold on Wednesday headed out mixed in the secondary market on Thursday, a trader said.

The 4.05% notes due 2023 were seen in the 122 bps bid, 124 bps offered area, tighter than where the company sold $500 million of the issue at a spread of Treasuries plus 125 bps.

Time Warner's tranche of 5.25% notes due 2043 traded at 149 bps bid, 145 bps offered, the trader said. Time Warner sold $500 million of the bonds with a spread of Treasuries 148 bps.

The media and entertainment company is based in New York City.

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