Waste Management, Caterpillar, SunTrust Bank, Fidelity, Avangrid, Nstar Electric price notes

By Cristal Cody

Tupelo, Miss., May 14 – The high-grade primary market roared to life on Tuesday with more than $10 billion of corporate supply after issuers stood down on Monday as global trade concerns took hold.

Waste Management, Inc. priced a $4 billion billion five-tranche offering of fixed-rate senior notes to help finance an acquisition of Advanced Disposal Services, Inc.

In other issuance, Caterpillar Financial Services Corp. came with $2 billion of medium-term notes in three tranches.

SunTrust Bank priced $2 billion of senior notes in two parts.

Fidelity National Information Services, Inc. priced $1 billion of 10-year senior notes, a €5 billion six-part offering of euro-denominated senior notes and £1.25 billion of sterling-denominated notes in two tranches on Tuesday as part of the funding for its acquisition of Worldpay Inc.

In new green issuance on Tuesday, Avangrid, Inc. sold $750 million of 10-year notes.

Nstar Electric Co., doing business as Eversource Energy, also priced $400 million of 10-year green debentures during the session.

In the sovereign, supranational and agency primary market, Nordic Investment Bank priced $1 billion of five-year global notes on Tuesday.

About $25 billion to $35 billion of investment-grade issuance is expected this week by market sources.

The Markit CDX North American Investment Grade 32 index improved more than 2 basis points on Tuesday to a spread of 63 bps after widening nearly 5 bps in the previous session.

Waste Management prices

Waste Management priced $4 billion of fixed-rate senior notes (Baa1/A-/BBB+) in five tranches on Tuesday, according to a market source.

The company sold $750 million of 2.95% five-year notes at a spread of Treasuries plus 75 bps.

A $750 million tranche of 3.2% seven-year notes priced with a Treasuries plus 90 bps spread.

Waste Management sold $1 billion of 3.45% 10-year notes at a spread of 105 bps over Treasuries.

A $500 million 20-year tranche of notes priced with a 4% coupon and a Treasuries plus 115 bps spread.

In the final tranche, the company sold $1 billion of 4.15% 30-year notes at a spread of 130 bps over Treasuries.

The notes priced on the tight side of guidance.

Credit Suisse Securities (USA LLC, Deutsche Bank Securities Inc., Goldman Sachs & Co., LLC, J.P. Morgan Securities LLC and Mizuho Securities USA LLC were the bookrunners.

The notes are fully guaranteed by subsidiary Waste Management Holdings, Inc.

Waste Management is a Houston, Texas-based provider of water management environmental services.

Caterpillar sells three tranches

Caterpillar Financial Services priced $2 billion of medium-term notes (A3/A/A) in three tranches on Tuesday, according to FWP filings with the Securities and Exchange Commission.

A $750 million tranche of floating-rate notes due May 17, 2021 priced at par to yield Libor plus 39 bps.

Caterpillar sold $750 million of 2.65% two-year fixed-rate notes at 99.952 to yield 2.675%, or a spread of Treasuries plus 47 bps.

The company priced $500 million of 2.85% five-year notes at 99.787 to yield 2.896%, or a spread of Treasuries plus 70 bps.

Citigroup Global Markets Inc., BofA Merrill Lynch and MUFG were the bookrunners.

Nashville, Tenn.-based Caterpillar Financial Services is a financing arm of Caterpillar Inc.

SunTrust prices $2 billion

SunTrust Bank priced $2 billion of senior notes (Baa1/A-/A-) in two tranches on Tuesday, according to a market source.

The company sold $650 million of three-year floating-rate notes at Libor plus 59 bps.

SunTrust Bank priced $1.35 billion of 2.8% three-year notes at a spread of 65 bps over Treasuries.

SunTrust Robinson Humphrey Inc., Credit Suisse Securities and Morgan Stanley & Co. LLC were the bookrunners.

The bank is a subsidiary of Atlanta-based financial holding company SunTrust Banks, Inc.

Fidelity prints $1 billion

Fidelity National Information Services priced $1 billion of 3.75% 10-year senior notes (Baa2/BBB/BBB) in tandem with a multi-currency bond offering on Tuesday, according to FWP filings with the SEC.

The 3.75% notes priced at 99.826 to yield 3.771%, or a spread of Treasuries plus 135 bps.

Barclays, Goldman Sachs, Citigroup Global Markets, J.P. Morgan Securities, MUFG, U.S. Bancorp Investments, Inc., Wells Fargo Securities, LLC, Credit Agricole securities (USA) Inc., HSBC Securities (USA) Inc., Lloyds Securities Inc., PNC Capital Markets LLC, SMBC Nikko Securities Americas, Inc. and SunTrust Robinson Humphrey were the bookrunners on the dollar-denominated offering.

The company held a roadshow for the multi-currency deal May 7 through May 10.

Fidelity is a financial services technology company based in Jacksonville, Fla.

Avangrid brings green bonds

Avangrid sold $750 million of 3.8% 10-year green notes (Baa1/BBB/BBB+) on the tight side of guidance on Tuesday at a spread of 140 bps over Treasuries, according to a market source.

Citigroup Global Markets, Credit Agricole Securities, MUFG, Wells Fargo Securities, BBVA Securities Inc., Deutsche Bank Securities, NatWest Markets Securities Inc. and TD Securities (USA) LLC were the bookrunners.

Avangrid is an electric and gas utility based in Orange, Conn.

Nstar sells green bonds

Nstar Electric, doing business as Eversource Energy, priced $400 million of 3.25% 10-year green debentures (A2/A+/A+) at 99.78 to yield 3.276%, or a spread of Treasuries plus 85 bps, according to an FWP filing with the SEC.

Barclays, BofA Merrill Lynch, Citigroup Global Markets and TD Securities (USA) LLC were the bookrunners.

The Boston-based company operates in the energy delivery business through utility subsidiaries.

Nordic Bank raises $1 billion

Nordic Investment Bank priced $1 billion of 2.25% five-year global notes (Aaa/AAA/) on Tuesday at 99.906 and a spread of mid-swaps plus 6 bps, or Treasuries plus 8.4 bps, according to a market source and an FWP filing with the SEC.

The notes due May 21, 2024 were initially talked to price in the mid-swaps plus 7 bps area.

Bookrunners were Barclays, Citigroup Global Markets Ltd., HSBC Bank plc and Nomura Securities International, plc.

Nordic Investment Bank is an international financial institution owned by Denmark, Estonia, Finland, Iceland, Latvia, Lithuania, Norway and Sweden.

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