By Aleesia Forni
New York, April 14 – Bank of America Corp. priced $5 billion of senior notes (Baa1/BBB+/A) on Thursday in three parts, according to a market source.
The sale included $2 billion of 2.625% five-year notes sold at Treasuries plus 138 basis points.
Pricing came at the tight side of guidance in the 140 bps area.
A $500 million five-year floater sold at Libor plus 142 bps, at the tight end of the Libor plus 144 bps area guidance.
Finally, $2.5 billion of 3.5% 10-year bonds sold with a spread of 173 bps over Treasuries.
Guidance was in the Treasuries plus 175 bps area.
BofA Merrill Lynch was the bookrunner.
The Charlotte, N.C.-based bank will use the proceeds for general corporate purposes.
| Issuer: | Bank of America Corp.
|
| Issue: | Senior notes
|
| Amount: | $5 billion
|
| Bookrunner: | BofA Merrill Lynch
|
| Trade date: | April 14
|
| Ratings: | Moody’s: Baa1
|
| Standard & Poor’s: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| Five-year notes
|
| Amount: | $2 billion
|
| Maturity: | April 19, 2021
|
| Coupon: | 2.625%
|
| Spread: | Treasuries plus 138 bps
|
| Price guidance: | Treasuries plus 140 bps area
|
|
|
| Five-year floaters
|
| Amount: | $500 million
|
| Maturity: | April 19, 2021
|
| Coupon: | Libor plus 142 bps
|
| Price guidance: | Libor plus 144 bps area
|
|
|
| 10-year notes
|
| Amount: | $2.5 billion
|
| Maturity: | April 19, 2026
|
| Coupon: | 3.5%
|
| Spread: | Treasuries plus 173 bps
|
| Price guidance: | Treasuries plus 175 bps area
|
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