By Devika Patel
Knoxville, Tenn., April 2 – Equinor ASA offered further details about a $5 billion sale of guaranteed notes (Aa2/AA-) that priced in five tranches on Wednesday, according to a market source and a news release.
The company sold $1.25 billion of 2.875% five-year notes. These notes priced at 99.972 to yield 2.881%, with a spread of Treasuries plus 250 basis points.
There was a $500 million tranche of 3% seven-year notes. These notes priced at 99.506 to yield 3.079%, or Treasuries plus 255 bps.
The company priced $1.5 billion of 3.125% 10-year notes. These notes priced at 99.21 to yield 3.218%, with a spread of Treasuries plus 260 bps.
Equinor sold $500 million of 3.625% 20-year notes. These notes priced at 99.072 to yield 3.691%, with a spread of Treasuries plus 240 bps.
Finally, there was $1.25 billion of 3.7% 30-year notes. These notes priced at 99.265 to yield 3.741%, with a spread of Treasuries plus 245 bps.
Initial price talk on the five-year notes was in the Treasuries plus 270 bps area; the seven-year notes were talked at the 275 bps area; the 10-year notes were talked at the 280 bps area; the 20-year notes were talked at the 260 bps area; and the 30-year notes were talked at the 270 bps spread area.
Barclays, BofA Securities, Inc., Citigroup Global Markets Inc. and J.P. Morgan Securities LLC were the bookrunners.
The notes are guaranteed by subsidiary Equinor Energy AS.
Proceeds will be used for general corporate purposes, which may include debt repayment.
Equinor ASA is an oil, gas, wind and solar energy company based in Stavanger, Norway.
| Issuer: | Equinor ASA
|
| Guarantor: | Equinor Energy AS
|
| Amount: | $5 billion
|
| Description: | Senior notes
|
| Bookrunners: | Barclays, BofA Securities, Inc., Citigroup Global Markets Inc. and J.P. Morgan Securities LLC
|
| Trade date: | April 1
|
| Settlement date: | April 6
|
| Ratings: | Moody’s: Aa2
|
| S&P: AA-
|
| Distribution: | SEC registered
|
|
|
| Five-year notes
|
| Amount: | $1.25 billion
|
| Maturity: | April 6, 2025
|
| Coupon: | 2.875%
|
| Price: | 99.972
|
| Yield: | 2.881%
|
| Spread: | Treasuries plus 250 bps
|
| Call: | Make-whole call at Treasuries plus 40 bps until March 6, 2025, then a par call
|
| Price guidance: | Treasuries plus 270 bps area
|
|
|
| Seven-year notes
|
| Amount: | $500 million
|
| Maturity: | April 6, 2027
|
| Coupon: | 3%
|
| Price: | 99.506
|
| Yield: | 3.079%
|
| Spread: | Treasuries plus 255 bps
|
| Call: | Make-whole call at Treasuries plus 40 bps until Feb. 6, 2027, then a par call
|
| Price guidance: | Treasuries plus 275 bps area
|
|
|
| 10-year notes
|
| Amount: | $1.5 billion
|
| Maturity: | April 6, 2030
|
| Coupon: | 3.125%
|
| Price: | 99.21
|
| Yield: | 3.218%
|
| Spread: | Treasuries plus 260 bps
|
| Call: | Make-whole call at Treasuries plus 40 bps until Jan. 6, 2030, then a par call
|
| Price guidance: | Treasuries plus 280 bps area
|
|
|
| 20-year notes
|
| Amount: | $500 million
|
| Maturity: | April 6, 2040
|
| Coupon: | 3.625%
|
| Price: | 99.072
|
| Yield: | 3.691%
|
| Spread: | Treasuries plus 240 bps
|
| Call: | Make-whole call at Treasuries plus 40 bps until Oct. 6, 2039, then a par call
|
| Price guidance: | Treasuries plus 260 bps area
|
|
|
| 30-year notes
|
| Amount: | $1.25 billion
|
| Maturity: | April 6, 2050
|
| Coupon: | 3.7%
|
| Price: | 99.265
|
| Yield: | 3.741%
|
| Spread: | Treasuries plus 245 bps
|
| Call: | Make-whole call at Treasuries plus 40 bps until Oct. 6, 2049, then a par call
|
| Price guidance: | Treasuries plus 270 bps area
|
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