By Cristal Cody
Tupelo, Miss., March 12 – Campbell Soup Co. priced $5.3 billion of notes (Baa2/BBB) in seven tranches on Monday, according to a market source.
The company sold $500 million of two-year floating-rate notes at Libor plus 50 basis points.
Campbell Soup placed $400 million of three-year floaters at Libor plus 63 bps.
The $650 million tranche of 3.3% three-year fixed-rate notes was sold with a spread of 90 bps over Treasuries.
In the five-year tranche, the company sold $1.2 billion of 3.65% notes at a Treasuries plus 105 bps spread.
Campbell Soup priced $850 million of 3.95% seven-year notes with a 120 bps spread over Treasuries.
The $1 billion tranche of 4.15% 10-year notes priced with a spread of 130 bps over Treasuries.
In the final tranche, Campbell Soup sold $700 million of 4.8% 30-year bonds with a spread of Treasuries plus 170 bps.
Credit Suisse Securities (USA) LLC, Barclays, Citigroup Global Markets Inc., J.P. Morgan Securities LLC, BofA Merrill Lynch and BNP Paribas Securities Corp. were the bookrunners.
Proceeds will be used with borrowings under a new credit agreement to fund the cash consideration of the company’s planned merger with Snyder’s-Lance, Inc., according to a 424B2 filing with the Securities and Exchange Commission.
Campbell Soup is a convenience foods company based in Camden, N.J.
| Issuer: | Campbell Soup Co.
|
| Amount: | $5.3 billion
|
| Description: | Notes
|
| Bookrunners: | Credit Suisse Securities (USA) LLC, Barclays, Citigroup Global Markets Inc., J.P. Morgan Securities LLC, BofA Merrill Lynch and BNP Paribas Securities Corp.
|
| Trade date: | March 12
|
| Ratings: | Moody’s: Baa2
|
| S&P: BBB
|
| Distribution: | SEC registered
|
|
|
| Two-year floaters
|
| Amount: | $500 million
|
| Maturity: | March 16, 2020
|
| Coupon: | Libor plus 50 bps
|
|
|
| Three-year floaters
|
| Amount: | $400 million
|
| Maturity: | March 15, 2021
|
| Coupon: | Libor plus 63 bps
|
|
|
| Three-year notes
|
| Amount: | $650 million
|
| Maturity: | March 15, 2021
|
| Coupon: | 3.3%
|
| Spread: | Treasuries plus 90 bps
|
|
|
| Five-year notes
|
| Amount: | $1.2 billion
|
| Maturity: | March 15, 2023
|
| Coupon: | 3.65%
|
| Spread: | Treasuries plus 105 bps
|
|
|
| Seven-year notes
|
| Amount: | $850 million
|
| Maturity: | March 15, 2025
|
| Coupon: | 3.95%
|
| Spread: | Treasuries plus 120 bps
|
|
|
| 10-year notes
|
| Amount: | $1 billion
|
| Maturity: | March 15, 2028
|
| Coupon: | 4.15%
|
| Spread: | Treasuries plus 130 bps
|
|
|
| 30-year notes
|
| Amount: | $700 million
|
| Maturity: | Mach 15, 2048
|
| Coupon: | 4.8%
|
| Spread: | Treasuries plus 170 bps
|
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