New Issue: Bank of America sells $2.5 billion 3.846% fixed-rate reset subordinated notes due 2037

By Rebecca Melvin and Cristal Cody

Concord, N.H., March 4 – Bank of America Corp. sold $2.5 billion of 3.846% 15-year fixed-rate reset subordinated notes (Baa1/BBB+/A) at par on Thursday, according to a market source and an FWP filed with the Securities and Exchange Commission.

Interest will accrue at 3.846% until March 8, 2032, then the interest rate will reset to Treasuries plus 200 basis points.

The notes, which priced at 200 bps over Treasuries, were talked in the Treasuries plus 215 bps area.

The notes feature a make-whole call from March 10, 2027 until March 8, 2032, calculated at 30 bps over Treasuries, and then become callable at par beginning Sept. 8, 2036.

The bookrunner is BofA Securities Inc.

The financial services company is based in Charlotte, N.C.

Issuer:	Bank of America Corp.
Amount:	$2.5 billion
Issue:	Fixed-rate reset subordinated notes
Maturity:	March 8, 2037
Bookrunner:	BofA Securities Inc.
Co-managers:	AmeriVet Securities, Inc., Bancroft Capital, LLC, Roberts & Ryan Investments, Inc., Stern Brothers & Co., Tigress Financial Partners, LLC, Tribal Capital Markets, LLC, ANZ Securities, Inc., BMO Capital Markets Corp., CaixaBank, SA, Capital One Securities, Inc., CIBC World Markets Corp., Citizens Capital Markets, Inc., Commonwealth Bank of Australia, HSBC Securities (USA) Inc., Huntington Securities, Inc., ING Financial Markets LLC, Intesa Sanpaolo SpA, KeyBanc Capital Markets Inc., Mizuho Securities USA LLC, nabSecurities, LLC, Natixis Securities Americas LLC, NatWest Markets Securities Inc., PNC Capital Markets LLC, Santander Investment Securities Inc., Scotia Capital (USA) Inc., SG Americas Securities, LLC, SMBC Nikko Securities America, Inc., Standard Chartered Bank, SVB Securities LLC, Truist Securities, Inc. and UniCredit Capital Markets LLC
Coupon:	3.846% until March 8, 2032, then at Treasuries plus 200 bps
Price:	Par
Yield:	3.846%
Spread:	200 bps over Treasuries
Call:	Make-whole call from March 10, 2027 until March 8, 3032 at 30 bps over Treasuries; then callable at par after Sept. 8, 2032
Trade date:	March 3
Settlement date:	March 8
Ratings:	Moody’s: Baa1
	S&P: BBB+
	Fitch: A
Distribution:	SEC registered
Guidance:	Treasuries plus 215 bps area
Cusip:	06051GKL2

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