Western Digital offers senior notes in two tranches due 2029, 2032; price talk circulates

By Devika Patel and Cristal Cody

Knoxville, Tenn., Dec. 7 – Western Digital Corp. intends to issue fixed-rate senior notes in two tranches due 2029 and 2032, according to a 424B2 filed with the Securities and Exchange Commission.

The notes due 2029 are talked to yield in the 180 basis points area over Treasuries, and the notes due 2032 are talked with a spread in the 200 bps area, a market source told Prospect News.

The notes feature a make-whole call until two months prior to maturity for the 2029 notes and until three months prior to maturity for the 2032 notes, and then a par call after those dates.

BofA Securities Inc., J.P. Morgan Securities LLC and MUFG are the bookrunners.

Proceeds will be used to refinance debt, including repaying the company’s term loan A-1 due Feb. 27, 2023.

Western Digital is an Irvine, Calif.-based developer and manufacturer of storage solutions that enable people to create, manage, experience and preserve digital content.

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