By Cristal Cody
Tupelo, Miss., Sept. 14 – Empower Finance 2020, LP sold $1.5 billion of guaranteed senior notes (A+/A) in three tranches on Monday, according to a market source.
The company priced $400 million of 1.357% seven-year notes at a spread of 90 basis points over Treasuries, compared to talk in the 125 bps area.
A $400 million offering of 1.776% notes due March 17, 2030 priced with a Treasuries plus 110 bps spread.
The notes were initially guided to print in the 125 bps spread area.
A $700 million tranche of 3.075% notes due Sept. 17, 2051 was sold at Treasuries plus 165 bps, versus guidance at the 200 bps over Treasures area.
Goldman Sachs & Co. LLC, RBC Capital Markets, LLC, Scotia Capital (USA) Inc. and Wells Fargo Securities, LLC were the bookrunners.
The notes are guaranteed by Great-West Lifeco Inc.
Proceeds will be used to fund Great-West Lifeco’s acquisition of Massachusetts Mutual Life Insurance Co.’s retirement plan business.
Great-West Lifeco is a Winnipeg, Man.-based insurance and financial services holding company.
| Issuer: | Empower Finance 2020, LP
|
| Guarantor: | Great-West Lifeco Inc.
|
| Amount: | $1.5 billion
|
| Description: | Senior notes
|
| Bookrunners: | Goldman Sachs & Co. LLC, RBC Capital Markets, LLC, Scotia Capital (USA) Inc. and Wells Fargo Securities, LLC
|
| Trade date: | Sept. 14
|
| Ratings: | S&P: A+
|
| Fitch: A
|
|
|
| Seven-year notes
|
| Amount: | $400 million
|
| Maturity: | Sept. 17, 2027
|
| Coupon: | 1.357%
|
| Spread: | Treasuries plus 90 bps
|
| Price guidance: | Treasuries plus 125 bps area
|
|
|
| 10-year notes
|
| Amount: | $400 million
|
| Maturity: | March 17, 2030
|
| Coupon: | 1.776%
|
| Spread: | Treasuries plus 110 bps
|
| Price guidance: | Treasuries plus 125 bps area
|
|
|
| 30-year notes
|
| Amount: | $700 million
|
| Maturity: | Sept. 17, 2051
|
| Coupon: | 3.075%
|
| Spread: | Treasuries plus 165 bps
|
| Price guidance: | Treasuries plus 200 bps area
|
|
|
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