High-grade deal action heavy; Discovery Communications, MPT, Xerox, TD Bank price notes

By Cristal Cody

Tupelo, Miss., Sept. 7 – The investment-grade bond market showed no signs of fatigue following two back-to-back sessions of heavy issuance with new issuance on Thursday led by Discovery Communications, LLC’s $6.3 billion offering.

Discovery Communications priced senior notes in six tranches. The notes will be guaranteed by Discovery Communications, Inc.

Also on Thursday, MPT Operating Partnership, LP and MPT Finance Corp. priced an upsized $1.4 billion of 10-year split-rated senior notes. The deal was upsized from $1 billion. The notes are guaranteed by parent company Medical Properties Trust, Inc.

Xerox Corp. tapped the primary market with a $1 billion offering of long five-year notes.

Toronto-Dominion Bank doubled the size of its three-year note offering to $1 billion.

The Markit CDX North American Investment Grade index closed mostly unchanged at a spread of 59 basis points.

In the secondary market, Xerox’s existing 3.5% senior notes due Aug. 20, 2020 traded about 5 bps softer on the day at 135 bps bid, a source said.

Xerox sold $400 million of the notes on Aug. 17, 2015 at a spread of Treasuries plus 212.5 bps.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.