Ally, Rackspace, split-rated PBF deals price; Veritas out; Qorvo jumps; TerraForm falls

By Paul Deckelman and Paul A. Harris

New York, Nov. 17 – After taking a one-day hiatus on Monday, the high-yield primary sphere got back into full swing on Tuesday, pricing a trio of deals totaling nearly $1.75 billion.

Ally Financial, Inc. had the big deal of the day, a quickly shopped $750 million offering of 10-year senior subordinated notes, which firmed slightly in the aftermarket from their discounted issue price.

There was also a pair of $500 million transactions, PBF Holding Co., LLC’s split-rated, quick-to-market eight-year secured notes and Rackspace Hosting, Inc.’s upsized 8.25-year notes, a regularly scheduled forward calendar offering. PBF’s notes were quoted solidly higher in initial aftermarket dealings.

Syndicate sources heard that Veritas Technologies Corp.’s planned $2.53 billion multi-tranche, dual-currency deal had been postponed.

Among recently priced issues, Team Health, Inc.’s eight-year notes hung onto the hefty gains they’ve notched since pricing Friday, while Qorvo Inc.’s two tranches of notes, which also priced Friday, shot solidly higher, although on not much volume.

Away from the new deals, TerraForm Power, Inc. and TerraForm Global, Inc.’s bonds and shares tumbled badly, along with the shares and convertible notes of parent SunEdison, Inc., which fell on the news that several hedge funds have dumped or will dump their SunEdison stakes after disappointing results.

Statistical measures of junk market performance were higher across the board on Tuesday after being mixed on Monday and lower across the board on Friday and Thursday.

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