Voya gives early tender results for five notes; offer oversubscribed

By Susanna Moon

Chicago, June 20 – Voya Financial, Inc. said its tender offer for up to $800 million of five series of notes and debentures had been oversubscribed as of 5 p.m. ET on June 17, the early participation date.

As announced June 6, the notes covered by the offer were issued by Voya or subsidiary Voya Holdings, Inc.

Investors had tendered the following amount of notes, listed in order of acceptance priority level, with pricing for each $1,000 principal amount:

• $9,959,000 of Voya Holdings’ $103,148,000 6.97% debentures due Aug. 15, 2036 with a total purchase price of $1,376.57 using the 2.5% Treasury note due Feb. 15, 2046 plus 175 bps for a reference yield of 2.435%;

• $16,356,000 of Voya Holdings’ $203,985,000 7.625% debentures due Aug. 15, 2026 with a total purchase price of $1,379.05 using the 1.625% Treasury due May 15, 2026 plus 160 bps for a reference yield of 1.618%;

• $17,282,000 of Voya Holdings’ $162,915,000 7.25% debentures due Aug. 15, 2023 with a total purchase price of $1,277.78 using the 1.625% Treasury due May 15, 2026 plus 130 bps for a reference yield of 1.618%;

• $486,853,000 of Voya’s $850 million 5.5% senior notes due July 15, 2022 with a total purchase price of $1,157.34 using the 1.375% Treasury due May 31, 2021 plus 155 bps for a reference yield of 1.124%; and

• $728,574,000 of Voya’s $1 billion 2.9% senior notes due Feb. 15, 2018 with a total purchase price of $1,030.26 using the 1% Treasury due Feb. 15, 2018 plus 35 bps for a reference yield of 0.698%.

The company accepted for purchase all of the notes tendered in the first four series of notes and accepted $172,964,000 of the 2.9% notes on a prorated basis.

The first three notes are guaranteed by ING Groep NV. The last two series are guaranteed by Voya Holdings.

Pricing was set at 11 a.m. ET on June 17 using a reference security plus a fixed spread.

The total payment includes an early tender premium of $30.00 per $1,000 principal amount of notes tendered by the early participation date.

Holders will also receive accrued interest up to but excluding the settlement date of June 20.

The tender offer was set to end at 11:59 p.m. ET on July 1; however, the company said it expects to purchase no more notes in the offer because it has been oversubscribed.

Voya previously said it reserves the right to increase the tender cap.

The offers’ financing condition was satisfied June 13 when Voya completed the sale of $800 million of 10- and 30-year notes.

The dealer managers are Barclays (800 438-3242 or 212 528-7581), Credit Suisse Securities (USA) LLC (800 820-1653 or 212 538-2147) and Deutsche Bank Securities Inc. (866 627-0391 or 212 250-2955). D. F. King & Co., Inc. (212 269-5550, 866 207-2324 or voya@dfking.com) is the information agent and tender agent.

Voya is a financial, retirement, investment and insurance company based in New York.

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