By Aleesia Forni
Virginia Beach, April 15 - Wal-Mart Stores Inc. priced $2.5 billion of senior notes in tranches due 2017, 2024 and 2044, according to a market source and a FWP filed with the Securities and Exchange Commission.
The deal was upsized from $2 billion.
The sale included $500 million of 1% three-year notes priced with a spread of Treasuries plus 17 basis points, or 99.985 to yield 1.005%.
A second tranche was $1 billion of 3.3% notes due 2024 sold at 73 bps over Treasuries.
Pricing was at 99.612 to yield 3.346%.
There was also $1 billion of 4.3% 30-year bonds, which priced at 99.349 to yield 4.339%, or Treasuries plus 90 bps.
All three tranches sold at the tight end of talk.
The joint bookrunners were Citigroup Global Markets Inc., Goldman Sachs & Co., J.P. Morgan Securities LLC, BBVA Securities Inc., Mitsubishi UFJ Securities (USA), Inc. and Mizuho Securities USA Inc.
Wal-Mart was last in the U.S. bond market with $5 billion of senior notes in four tranches.
The discount retailer is based in Bentonville, Ark.
| Issuer: | Wal-Mart Stores, Inc.
|
| Issue: | Senior notes
|
| Amount: | $2.5 billion, upsized from $2 billion
|
| Joint bookrunners: | Citigroup Global Markets Inc., Goldman Sachs & Co., J.P. Morgan Securities LLC, BBVA Securities Inc., Mitsubishi UFJ Securities (USA), Inc., Mizuho Securities USA Inc.
|
| Trade date: | April 15
|
| Settlement date: | April 22
|
| Ratings: | Moody's: Aa2
|
| Standard & Poor's: AA
|
| Fitch: AA
|
| Distribution: | SEC-registered
|
|
|
| Three-year notes
|
| Amount: | $500 million
|
| Maturity: | April 21, 2017
|
| Coupon: | 1%
|
| Price: | 99.985
|
| Yield: | 1.005%
|
| Spread: | Treasuries plus 17 bps
|
| Price talk: | Treasuries plus 20 bps area
|
|
|
| 10-year notes
|
| Amount: | $1 billion
|
| Maturity: | April 22, 2024
|
| Coupon: | 3.3%
|
| Price: | 99.612
|
| Yield: | 3.346%
|
| Spread: | Treasuries plus 73 bps
|
| Price talk: | Treasuries plus 75 bps area
|
| Make-whole call: | Treasuries plus 12.5 bps | prior to Jan. 22, 2024, then callable at par
|
|
|
| 30-year bonds
|
| Amount: | $1 billion
|
| Maturity: | April 22, 2044
|
| Coupon: | 4.3%
|
| Price: | 99.349
|
| Yield: | 4.339%
|
| Spread: | Treasuries plus 90 bps
|
| Price talk: | Treasuries plus 92 bps area
|
| Make-whole call: | Treasuries plus 15 bps | prior to Oct. 22, 2043, then callable at par
|
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