Kraft Heinz upsizes; NFP prices; Avis on deck; Del Monte trades up; airlines trade off

By Paul A. Harris and Abigail W. Adams

Portland, Me., May 4 – The domestic high-yield primary market launched what promises to be an active week with a multibillion dollar offering.

Kraft Heinz Foods Co. priced a massively upsized $3.5 billion split-rated senior notes (Baa3/BB+) deal in three bullet tranches.

Also in Monday drive-by action, NFP Corp. priced a $300 million issue of five-year senior secured notes (B2/B).

Mauser Packaging Solutions Holding Co., formerly known as BWAY, was also slated to price a $150 million of four-year senior first-lien notes in a Monday drive-by but deal terms were unavailable as of press time.

Avis Budget Car Rental, LLC and Avis Budget Finance, Inc. also joined the forward calendar with a $400 million offering of five-year senior secured notes (Ba2/BB-) slated to price on Tuesday.

In the secondary, as the market awaited Kraft Heinz’s new offering, the company’s capital structure was little changed.

While volume was light, Del Monte Foods Inc.’s newly priced 11 7/8% senior notes due 2025 (Caa2/CCC+) were trading well above their issue price.

Monday marked another brutal day for airlines with American Airlines Group Inc.’s and Delta Air Lines, Inc.’s senior notes trading off after famed investor Warren Buffett announced he had exited his position in the companies.

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