By Andrea Heisinger
New York, Nov. 29 - The Walt Disney Co. priced $1.6 billion of notes (A2/A/A) in two tranches on Tuesday, an informed source said.
The $1 billion of 0.875% three-year paper priced at 99.673 to yield 0.986% with a spread of Treasuries plus 60 basis points. This tranche sold tighter than guidance in the range of 65 bps to 70 bps.
The notes have a make-whole call at Treasuries plus 10 bps.
A $600 million tranche of 4.125% 30-year bonds priced at 98.829 to yield 4.194% with a spread of Treasuries plus 125 bps. The bonds sold at the tight end of talk in the 125 bps to 130 bps range.
The bonds have a make-whole call at Treasuries plus 20 bps.
Bookrunners were BNP Paribas Securities Corp., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC and Deutsche Bank Securities Inc.
Bank of America Merrill Lynch, HSBC Securities (USA) Inc., RBS Securities Inc. and SunTrust Robinson Humphrey Inc. were the co-managers.
Junior co-managers were CL King & Associates, Lebenthal & Co. LLC, Loop Capital Markets LLC, Muriel Siebert & Co. Inc. and Samuel A. Ramirez & Co. Inc.
Proceeds will be used for general corporate purposes.
Disney last priced $1.85 billion of debt in three tranches on Aug. 17. The 4.375% 30-year bonds from that deal were priced at 87.5 bps over Treasuries.
The entertainment and media company is based in Burbank, Calif.
| Issuer: | Walt Disney Co.
|
| Issue: | Notes
|
| Amount: | $1.6 billion
|
| Bookrunners: | BNP Paribas Securities Corp., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc.
|
| Co-managers: | Bank of America Merrill Lynch, HSBC Securities (USA) Inc., RBS Securities Inc., SunTrust Robinson Humphrey Inc.
|
| Junior co-managers: | CL King & Associates, Lebenthal & Co. LLC, Loop Capital Markets LLC, Muriel Siebert & Co. Inc., Samuel A. Ramirez & Co. Inc.
|
| Trade date: | Nov. 29
|
| Settlement date: | Dec. 2
|
| Ratings: | Moody's: A2
|
| Standard & Poor's: A
|
| Fitch: A
|
|
|
| Three-year notes
|
| Amount: | $1 billion
|
| Maturity: | Dec. 2, 2014
|
| Coupon: | 0.875%
|
| Price: | 99.673
|
| Yield: | 0.986%
|
| Spread: | Treasuries plus 60 bps
|
| Call: | Make-whole at Treasuries plus 10 bps
|
| Price talk: | 65 bps to 70 bps
|
|
|
| 30-year bonds
|
| Amount: | $600 million
|
| Maturity: | Dec. 1, 2041
|
| Coupon: | 4.125%
|
| Price: | 98.829
|
| Yield: | 4.194%
|
| Spread: | Treasuries plus 125 bps
|
| Call: | Make-whole at Treasuries plus 20 bps
|
| Price talk: | 125 bps to 130 bps
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
