New Issue: Torchmark prices $550 million 4.55% 10-year senior notes at 150 bps over Treasuries

By Cristal Cody

Tupelo, Miss., Sept. 25 – Torchmark Corp. sold $550 million of 4.55% 10-year senior notes (Baa1/A) on Tuesday at 99.637 to yield 4.596%, or a Treasuries plus 150 basis points spread, according to an FWP filing with the Securities and Exchange Commission.

BofA Merrill Lynch, U.S. Bancorp Investments Inc. and Wells Fargo Securities LLC were the bookrunners.

Proceeds will be used with cash on hand to redeem $293 million of the company’s 9.25% senior notes due 2019 and fund $150 million of additional capital to insurance subsidiaries.

Torchmark is an insurance holding company based in McKinney, Texas, that provides life insurance and supplemental health insurance.

Issuer:	Torchmark Corp.
Amount:	$550 million
Description:	Senior notes
Maturity:	Sept. 15, 2028
Bookrunners:	BofA Merrill Lynch, U.S. Bancorp Investments Inc. and Wells Fargo Securities LLC
Co-managers:	BB&T Capital Markets, BBVA Securities Inc., Comerica Securities, Inc., KeyBanc Capital Markets Inc., Williams Capital Group, LP, Regions Securities LLC and SunTrust Robinson Humphrey, Inc.
Coupon:	4.55%
Price:	99.637
Yield:	4.596%
Spread:	Treasuries plus 150 bps
Call feature:	Make-whole call before June 15, 2028 at price equal to greater of par and Treasuries plus 25 bps; thereafter at par
Trade date:	Sept. 25
Settlement date:	Sept. 27
Ratings:	Moody’s: Baa1
	S&P: A
Distribution:	SEC registered

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