Published on 2/25/2013 in the Prospect News Investment Grade Daily.
New Issue: Caterpillar Financial sells $1.1 billion three-, five-, 10-year notes
By Andrea Heisinger
New York, Feb. 25 - Caterpillar Financial Services Corp. has priced $1.1 billion of notes (A2/A/A) in four tranches Monday, a market source told Prospect News.
A $300 million tranche of three-year floating-rate notes sold at par to yield Libor plus 24 basis points.
The sale included $300 million of 0.7% three-year notes priced at 99.876 to yield 0.742% with a spread of Treasuries plus 38 bps.
A $250 million tranche of 1.3% five-year notes sold at 99.807 to yield 1.34% with a spread of Treasuries plus 58 bps.
Finally, there was $250 million of 2.625% 10-year notes priced at 99.433 to yield 2.69% with a spread of Treasuries plus 83 bps.
All of the tranches are non-callable.
BofA Merrill Lynch, Citigroup Global Markets Inc. and Goldman Sachs & Co. were the bookrunners.
The funding arm of heavy equipment maker Caterpillar is based in Nashville, Tenn.
| Issuer: | Caterpillar Financial Services Corp.
|
| Issue: | Medium-term notes
|
| Amount: | $1.1 billion
|
| Bookrunners: | BofA Merrill Lynch, Citigroup Global Markets Inc., Goldman Sachs & Co.
|
| Co-managers: | BNP Paribas Securities Corp., BNY Mellon Capital Markets LLC, Commerz Markets LLC, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., ING Financial Markets LLC, Lloyds Securities Inc., Mitsubishi UFJ Securities (USA) Inc., RBS Securities Inc., SG Americas Securities LLC
|
| Trade date: | Feb. 25
|
| Settlement date: | Feb. 28
|
| Ratings: | Moody's: A2
|
| Standard & Poor's: A
|
| Fitch: A
|
|
|
| Three-year floaters
|
| Amount: | $300 million
|
| Maturity: | Feb. 26, 2016
|
| Coupon: | Libor plus 24 bps
|
| Price: | Par
|
| Yield: | Libor plus 24 bps
|
| Call: | Non-callable
|
|
|
| Three-year fixed-rate notes
|
| Amount: | $300 million
|
| Maturity: | Feb. 26, 2016
|
| Coupon: | 0.7%
|
| Price: | 99.876
|
| Yield: | 0.742%
|
| Spread: | Treasuries plus 38 bps
|
| Call: | Non-callable
|
|
|
| Five-year notes
|
| Amount: | $250 million
|
| Maturity: | March 1, 2018
|
| Coupon: | 1.3%
|
| Price: | 99.807
|
| Yield: | 1.34%
|
| Spread: | Treasuries plus 58 bps
|
| Call: | Non-callable
|
|
|
| 10-year notes
|
| Amount: | $250 million
|
| Maturity: | March 1, 2023
|
| Coupon: | 2.625%
|
| Price: | 99.433
|
| Yield: | 2.69%
|
| Spread: | Treasuries plus 83 bps
|
| Call: | Non-callable
|
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