By Paul A. Harris
Portland, Ore., Oct. 19 – Avantor Funding, Inc. priced an $800 million issue of eight-year senior notes (B2/BB-/BB) at par to yield 3 7/8% in a Tuesday drive-by, according to market sources.
The yield printed at the tight end of yield talk in the 4% area. Initial guidance was in the low 4% area.
The deal was a blowout, three-times oversubscribed at price talk, a trader said.
Citigroup Global Markets Inc. was the left bookrunner. Joint bookrunners were Goldman Sachs & Co. LLC, BofA Securities Inc., Barclays and PNC Capital Markets LLC.
The Radnor Township, Pa.-based chemical company plans to use the proceeds plus a $900 million term loan to partially fund its acquisition of Antylia Scientific’s Masterflex bioproduction business.
They feature a mandatory par call if the acquisition is not consummated.
| Issuer: | Avantor Funding, Inc.
|
| Amount: | $800 million
|
| Maturity: | Nov. 1, 2029
|
| Securities: | Senior notes
|
| Left bookrunner: | Citigroup Global Markets Inc.
|
| Joint bookrunners: | Goldman Sachs & Co. LLC, BofA Securities Inc., Barclays and PNC Capital Markets LLC
|
| Co-managers: | Wells Fargo Securities LLC and HSBC Securities (USA) Inc.
|
| Coupon: | 3 7/8%
|
| Price: | Par
|
| Yield: | 3 7/8%
|
| Spread: | 242 bps
|
| First call: | Nov. 1, 2024 at 101.938
|
| Trade date: | Oct. 19
|
| Settlement date: | Oct. 26
|
| Ratings: | Moody's: B2
|
| S&P: BB-
|
| Fitch: BB
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 4% area
|
| Marketing: | Drive-by
|
|
|
© 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.
