Macquarie, Societe Generale, CubeSmart price notes; Japan Bank, IFC, Dexia lead SSA supply

By Cristal Cody

Tupelo, Miss., Oct. 8 – High-grade supply on Tuesday included nearly $3 billion of corporate issuance and more than $9 billion of volume in the sovereign, supranational and agency primary market.

Leading corporate pricing action, Macquarie Bank Ltd. sold $1.25 billion of three-year senior notes.

Societe Generale SA priced $1 billion of five-year notes.

Also, CubeSmart, LP sold $350 million of guaranteed senior notes due Feb. 15, 2030.

In other issuance, British Columbia Ferry Services Inc., operating as BC Ferries, priced C$250 million of 30-year senior secured bonds.

In SSA volume, Japan Bank for International Cooperation led the day’s supply with a $3 billion three-tranche offering of registered guaranteed global notes.

Other issuance included $2 billion of five-year global notes from International Finance Corp. and $1.5 billion of five-year senior notes from Dexia Credit Local SA.

Also, Commonwealth Bank of Australia priced $1.25 billion of three-year covered bonds.

BNG Bank NV brought a $1 billion offering of five-year sustainability bonds to the market.

In addition, Inter-American Development Bank priced a $400 million add-on to its floating-rate notes due Sept. 16, 2022.

The issue was the bank’s first SOFR-linked transaction.

Corporate deal volume week to date totals $7 billion. The SSA market was quiet on Monday but is expected to continue to see supply this week.

Italy intends to price its first dollar-denominated bond deal since 2010 on Wednesday.

Also in the upcoming session, Nordic Investment Bank plans to print $1 billion of three-year global notes.

The Markit CDX North American Investment Grade 33 index closed Tuesday about 2 basis points softer at a spread of 63 bps.

Macquarie sells $1.25 billion

Macquarie Bank priced $1.25 billion of 2.1% senior notes due Oct. 17, 2022 (A2/A/A) on Tuesday at a spread of 75 bps over Treasuries, tighter than talk in the Treasuries plus 85 bps area, according to a market source.

Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, Macquarie Capital Markets, SMBC Nikko Securities America, Inc. and Wells Fargo Securities LLC were the bookrunners.

Macquarie Bank is part of Sydney, Australia-based financial services company Macquarie Group Ltd.

Societe Generale price

Societe Generale priced $1 billion of 2.625% five-year notes (Baa2/A/A) on Tuesday at a spread of 130 bps over Treasuries, according to a market source.

Initial price talk was in the Treasuries plus 140 bps area.

SG Americas Securities LLC, BofA Securities, Inc., J.P. Morgan Securities LLC, and NatWest Markets Securities Inc. were the bookrunners.

Societe Generale is a Paris-based banking and financial services company.

CubeSmart brings notes

CubeSmart sold $350 million of 3% guaranteed senior notes due Feb. 15, 2030 at 99.623 to yield 3.043% on Tuesday, according to an FWP filing with the Securities and Exchange Commission.

The notes (Baa2/BBB/) priced with a spread of 150 bps over Treasuries.

Wells Fargo, BofA Securities, U.S. Bancorp Investments Inc., Jefferies LLC and Regions Securities LLC were the bookrunners.

CubeSmart is a Wayne, Pa.-based real estate investment trust that owns, manages, operates and develops self-storage facilities.

Japan Bank prices $3 billion

Japan Bank for International Cooperation priced a $3 billion three-tranche offering of registered guaranteed global notes (A1/A+/), according to a market source and an FWP filing.

The bank sold $1 billion of 1.625% notes due Oct. 17, 2022 at mid-swaps plus 34 bps, tighter than initial price talk in the mid-swaps plus 37 bps area.

A $1 billion tranche of 1.75% notes due Oct. 17, 2024 were sold at a spread of mid-swaps plus 42 bps. Initial price talk was in the mid-swaps plus 44 bps area.

A $1 billion tranche of 2% notes due Oct. 17, 2029 priced at a spread of mid-swaps plus 55 bps, compared to initial talk in the mid-swaps plus 57 bps area.

J.P. Morgan, Barclays, BofA Securities and Morgan Stanley & Co. International plc were the bookrunners.

The financial institution is based in Tokyo.

IFC sells $2 billion notes

International Finance (Aaa/AAA/) priced $2 billion of 1.375% five-year global notes on Tuesday at mid-swaps plus 11 bps, according to a market source.

Initial price talk was in the mid-swaps plus 12 bps area.

Citigroup, J.P. Morgan, Nomura Securities International, Inc. and TD Securities (USA) LLC were the bookrunners.

Washington, D.C.-based International Finance is a member of the World Bank Group.

Dexia raises $1.5 billion

Dexia Credit Local (Aa3/AA/BBB+) priced a $1.5 billion Rule 144A and Regulation S offering of 1.625% five-year senior notes on Tuesday at mid-swaps plus 38 bps, compared to initial talk in the mid-swaps plus 42 bps area, according to a market source.

Barclays, Deutsche Bank Securities Inc., HSBC Securities and Societe Generale were the bookrunners.

Dexia Credit Local is a Brussels, Belgium-based regional bank focused on sustainable development.

Bank of Australia prints

Commonwealth Bank of Australia priced $1.25 billion of 1.625% three-year covered bonds (Aaa//AAA) on Tuesday at a spread of mid-swaps plus 30 bps, compared to initial talk in the mid-swaps plus 33 bps area, according to a market source.

Commonwealth Bank of Australia, HSBC Securities, RBC Capital Markets LLC and TD Securities were the bookrunners.

The bank and financial services company is based in Sydney.

BNG Bank brings $1 billion

BNG Bank (Aaa/AAA/AA+) priced a $1 billion offering of 1.5% five-year sustainability bonds on Tuesday at mid-swaps plus 18 bps, tighter than initial talk in the mid-swaps plus 20 bps area, according to a market source.

Citigroup, HSBC Securities (USA) Inc. and TD Securities were the bookrunners.

The banking services company, formerly known as N.V. Bank Nederlandse Gemeenten, is based in The Hague, Netherlands.

IADB prices add-on

The Inter-American Development Bank (Aaa/AAA/) priced a $400 million add-on to its floating-rate notes due Sept. 16, 2022 on Tuesday at SOFR plus 26 bps, according to a market source.

Initial price talk was in the SOFR plus 26 bps area.

BofA Securities, BMO Capital Markets Corp. and Standard Chartered Bank were the bookrunners.

IADB first sold $600 million of the notes on Sept. 10 at par to yield SOFR plus 26 bps. The total outstanding is now $1 billion.

The provider of development financing for Latin America and the Caribbean is based in Washington, D.C.

On tap for Wednesday

Italy (Baa3/BBB/BBB) plans to price a dollar-denominated three-tranche offering of global notes on Wednesday, a source said.

The deal includes five-, 10- and 30-year notes.

Initial price talk on the notes due Oct. 17, 2024 is in the mid-swaps plus 125 bps to 130 bps area.

The tranche of notes due Oct. 17, 2029 is initially talked to price with a spread in the mid-swaps plus 165 bps to 170 bps area.

Price talk on the notes Oct. 17, 2049 is in the mid-swaps plus 250 bps to 255 bps area.

Barclays, HSBC Securities and J.P. Morgan are the bookrunners.

The offering is Italy’s first dollar bond deal since 2010.

In addition, Nordic Investment Bank (Aaa/AAA/) plans to price $1 billion of three-year global notes during the session, a source said.

The notes due Oct. 17, 2022 are initially talked to price in the mid-swaps plus 8 bps area.

J.P. Morgan, HSBC Securities, RBC Capital Markets and TD Securities are the bookrunners.

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