By Andrea Heisinger
New York, July 25 - Daimler Finance North America LLC sold $2.25 billion of notes (A3/A-/A-) in two maturities on Wednesday, a source close to the trade said.
The $1.5 billion of 1.3% three-year notes priced at 99.818 to yield 1.362% with a spread of Treasuries plus 108 basis points. The tranche sold tighter than guidance in the 115 bps area, the source said.
A second part was $750 million of 2.25% seven-year notes sold at 99.358 to yield 2.35% with a spread of 145 bps over Treasuries. The notes were priced at the tight end of guidance in the 150 bps area.
BNP Paribas Securities Corp., Citigroup Global Markets Inc., HSBC Securities (USA) Inc. and Mitsubishi UFJ Securities (USA) Inc. were the bookrunners.
The deal was priced under Rule 144A and Regulation S.
Daimler Finance last sold bonds in the U.S. market in a $1.75 billion deal in three tranches on April 2. A 1.65% three-year note from that offering priced at 118 bps over Treasuries.
The financing unit of automaker Daimler AG is based in Stuttgart, Germany.
| Issuer: | Daimler Finance North America LLC
|
| Issue: | Notes
|
| Amount: | $2.25 billion
|
| Bookrunners: | BNP Paribas Securities Corp., Citigroup Global Markets Inc., HSBC Securities (USA) Inc., Mitsubishi UFJ Securities (USA) Inc.
|
| Distribution: | Rule 144A, Regulation S
|
| Trade date: | July 25
|
| Settlement date: | Aug. 1
|
| Ratings: | Moody's: A3
|
| Standard & Poor's: A-
|
| Fitch: A-
|
|
|
| Three-year notes
|
| Amount: | $1.5 billion
|
| Maturity: | July 31, 2015
|
| Coupon: | 1.3%
|
| Price: | 99.818
|
| Yield: | 1.362%
|
| Spread: | Treasuries plus 108 bps
|
| Price talk: | 115 bps area
|
|
|
| Seven-year notes
|
| Amount: | $750 million
|
| Maturity: | July 31, 2019
|
| Coupon: | 2.25%
|
| Price: | 99.358
|
| Yield: | 2.35%
|
| Spread: | Treasuries plus 145 bps
|
| Price talk: | 150 bps area
|
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