New Issue: Western Digital prices $2.3 billion eight-year bullet notes at par to yield 4¾%

By Paul A. Harris

Portland, Ore., Jan. 30 – Western Digital Corp. priced a $2.3 billion issue of non-callable eight-year senior notes (Baa3/BB+/BB+) at par to yield 4¾% on Tuesday, according to market sources.

The yield printed at the wide end of yield talk in the 4 5/8% area.

Initial price talk had the deal coming with a yield in the high 4% area, a trader said, adding that the book was said to be around $2 billion early Tuesday afternoon.

BofA Merrill Lynch was the left bookrunner. J.P. Morgan Securities LLC, Mizuho Securities USA Inc., RBC Capital Markets LLC, Wells Fargo Securities LLC, Citigroup Global Markets Inc., HSBC Securities (USA) Inc., MUFG, SMBC, SunTrust Robinson Humphrey Inc. and TD Securities (USA) LLC are joint bookrunners.

The San Jose, Calif.-based data solutions provider plans to use the proceeds, together with cash on hand, to fund a concurrent tender offer.

Issuer:	Western Digital Corp.
Amount:	$2.3 billion
Maturity:	Feb. 15, 2026
Securities:	Senior notes
Left bookrunner:	BofA Merrill Lynch
Joint bookrunners:	J.P. Morgan Securities LLC, Mizuho Securities USA Inc., RBC Capital Markets LLC, Wells Fargo Securities LLC, Citigroup Global Markets Inc., HSBC Securities (USA) Inc., MUFG, SMBC, SunTrust Robinson Humphrey Inc., TD Securities (USA) LLC
Coupon:	4¾%
Price:	Par
Yield:	4¾%
Spread:	205 bps
Call protection:	Non-callable
Trade date:	Jan. 30
Settlement date:	Feb. 13
Ratings:	Moody's: Baa3
	S&P: BB+
	Fitch: BB+
Distribution:	SEC registered
Price talk:	4 5/8% area

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