New Issue: Booz Allen prices $500 million eight-year notes at par to yield 4%

By Paul A. Harris

Portland, Ore., June 7 – Booz Allen Hamilton Inc. priced a $500 million issue of eight-year senior notes (Ba2/BB-) at par to yield 4% in a Monday drive-by, according to market sources.

The yield printed at the tight end of yield talk in the 4 1/8% area. Initial guidance was in the 4¼% area.

The deal was heard to be playing to $1.9 billion of orders, a trader said.

BofA Securities Inc. was at the left of a syndicate of bookrunners that also included J.P. Morgan Securities LLC, Goldman Sachs & Co. LLC, SMBC Nikko Securities America Inc. and Wells Fargo Securities LLC.

The McLean, Va.-based management and information technology consulting services provider plans to use the proceeds to fund the acquisition of Liberty IT Solutions, LLC.

Issuer:	Booz Allen Hamilton Inc.
Amount:	$500 million
Maturity:	July 1, 2029
Securities:	Senior notes
Joint bookrunners:	BofA Securities Inc., J.P. Morgan Securities LLC, Goldman Sachs & Co. LLC, SMBC Nikko Securities America Inc. and Wells Fargo Securities LLC
Co-managers:	Fifth Third Securities Inc., Capital One Securities Inc., MUFG, PNC Capital Markets LLC, TD Securities (USA) LLC and Truist Securities Inc.
Coupon:	4%
Price:	Par
Yield:	4%
Spread:	263 bps
First call:	July 1, 2024 at 102
Trade date:	June 7
Settlement date:	June 17
Ratings:	Moody's: Ba2
	S&P: BB-
Distribution:	Rule 144A and Regulation S
Price talk:	4 1/8% area
Marketing:	Drive-by

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