By James McCandless
San Antonio, June 18 – BP Capital Markets plc priced a $2.5 billion offering of $1,000-par perpetual subordinated non-call 10-year fixed-rate reset notes with a coupon of 4.875%, according to a market source and an FWP filing with the Securities and Exchange Commission.
The yield came in the lower side of talk for a coupon in the 5.25% area.
The notes are guaranteed by BP plc.
There is no greenshoe.
BNP Paribas Securities Corp., BofA Securities, Inc., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., Lloyds Bank Corporate Markets plc, Mizuho Securities USA LLC, MUFG and Santander Investment Securities Inc. are the bookrunners.
The coupon resets on June 22, 2030 and every five years thereafter at a rate of Treasuries plus 414.8 bps plus 25 bps per annum through June 22, 2050, increasing to 100 bps per annum thereafter.
The notes are callable on March 22, 2030 and then any coupon payment date. Prior to that, the notes are redeemable after a ratings agency event, accounting event or tax deduction event.
BP Capital plans to use the proceeds for general corporate purposes, including working capital for BP or other companies in the BP group and the repayment of existing borrowings of BP and its subsidiaries.
The company plans to list the notes on the New York Stock Exchange.
BP Capital is a Sunbury, England-based debt issuer for oil and gas producing parent company BP.
| Issuer: | BP Capital Markets plc
|
| Description: | Perpetual subordinated non-call 10-year fixed-rate reset notes
|
| Amount: | $2.5 billion
|
| Maturity: | Perpetual
|
| Bookrunners: | BNP Paribas Securities Corp., BofA Securities, Inc., Citigroup Global Markets Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., Lloyds Bank Corporate Markets plc, Mizuho Securities USA LLC, MUFG and Santander Investment Securities Inc.
|
| Coupon: | 4.875%, then resets on June 22, 2030 and every five years thereafter at a rate of Treasuries plus 414.8 bps plus 25 bps per annum through June 22, 2050, increasing to 100 bps per annum thereafter
|
| Price: | Par of $1,000
|
| Spread: | Treasuries plus 414.8 bps
|
| Call: | March 22, 2030
|
| Pricing date: | June 17
|
| Settlement date: | June 22
|
| Distribution: | SEC registered
|
| Talk: | 5.25% area
|
|
|
|
|
© 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.
