By Cristal Cody
Chicago, March 9 – AmFam Holdings, Inc. sold $1 billion of notes in two parts on Monday (Baa1/BBB), according to a market source.
A first tranche of $500 million of 2.805% notes due March 11, 2031 sold with a spread of Treasuries plus 120 basis points. Talk for the notes had been in the Treasuries plus 150 bps area.
A second tranche of $500 million of 3.833% notes due March 11, 2051 sold with a spread of Treasuries plus 150 bps. The notes were talked in the Treasuries plus 180 bps area.
Proceeds will be used to repay borrowings from the Federal Home Loan Bank of Chicago, some of which were incurred to finance the recent Bold Penguin acquisition and for general corporate purposes, according to Moody’s Investors Service.
BofA Securities Inc., J.P. Morgan Securities LLC and Wells Fargo Securities LLC are the bookrunners.
The company is based in Madison, Wis.
| Issuer: | AmFam Holdings, Inc.
|
| Issue: | Notes
|
| Amount: | $1 billion
|
| Bookrunners: | BofA Securities Inc., J.P. Morgan Securities LLC and Wells Fargo Securities LLC
|
| Pricing date: | March 8
|
| Ratings: | Moody’s: Baa1
|
| S&P: BBB
|
| Distribution: | Rule 144A and Regulation S
|
|
|
| 2031 notes
|
| Amount: | $500 million
|
| Maturity: | March 11, 2031
|
| Coupon: | 2.805%
|
| Spread: | Treasuries plus 120 bps
|
| Price talk: | Treasuries plus 150 bps area
|
|
|
| 2051 notes
|
| Amount: | $500 million
|
| Maturity: | March 11, 2051
|
| Coupon: | 3.833%
|
| Spread: | Treasuries plus 150 bps
|
| Price talk: | Treasuries plus 180 bps area
|
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