OneMain Finance to price $500 million 5.5-year notes on Tuesday; initial talk 9% area

By Paul A. Harris

Portland, Ore., June 20 – OneMain Financial is driving by with a $500 million public offering of OneMain Finance Corp. senior notes due Jan. 15, 2029 (Ba2/BB), according to market sources.

The deal, which was set to kick off on a Tuesday morning conference call with investors, is in the market with initial talk in the 9% area and comes with $250 million of reverse inquiry, sources say.

The 5.5-year notes become callable after two years at par plus 50% of the coupon.

The notes will be guaranteed by OneMain Finance’s direct parent company, OneMain Holdings, Inc., but the notes will not be guaranteed by any of OneMain Finance Corp.’s subsidiaries, including OneMain Financial Holdings, LLC, according to a 424B3 filing with the Securities and Exchange Commission.

Active bookrunner Barclays will bill and deliver. SG Americas Securities LLC is also an active bookrunner.

BNP Paribas Securities Corp., Citigroup Global Markets Inc., Citizens Capital Markets Inc., Goldman Sachs & Co. LLC, HSBC Securities (USA) Inc., Mizuho Securities USA Inc., NatWest Markets Securities Inc., Regions Securities LLC, RBC Capital Markets LLC, TD Securities (USA) LLC and Truist Securities Inc. are passive bookrunners.

Deutsche Bank Securities Inc., Natixis Securities Americas LLC and Siebert Williams Shank & Co. LLC are co-managers.

The Evansville, Ind.-based financial services provider plans to use the proceeds for general corporate purposes which may include debt repurchases and repayments.

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