High-grade supply thins; Yara on investor calls; Hyundai plans roadshow; Campbell widens

By Cristal Cody

Tupelo, Miss., May 21 – Primary action came to a near halt in the high-grade market with one reported issuer on Monday.

Unum Group sold $300 million of 6.25% $25-par junior subordinated notes due 2058.

Syndicate sources had expected bond issuance to be front-loaded over the short market week. The markets will close early on Friday.

About $25 billion of volume is expected headed into the Memorial Day holiday weekend, though some predict supply could hit $40 billion if issuers seeking to complete mergers and acquisitions tap the primary market.

The week before the holiday typically has lighter volume with just $22 billion of average issuance since 2011, according to a BofA Merrill Lynch note released Monday.

Several investment-grade issuers are holding roadshows or investor calls for deals this week.

Yara International ASA kicked off a two-day round of fixed-income investor calls on Monday for a dollar-denominated senior note offering.

Also, ASB Bank Ltd.’s roadshow for a Rule 144A and Regulation S dollar-denominated offering of five-year notes continues in the U.S. market through Thursday. ASB Bank began the roadshow May 14 in Asia.

Looking ahead, Hyundai Capital America plans to hold a roadshow for a dollar-denominated deal after the holiday.

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