By Andrea Heisinger
New York, Nov. 16 - GATX Corp. sold $250 million of 3.5% senior notes due July 2016 early on Tuesday to yield 200 basis points over Treasuries, a source who worked on the trade said.
The notes (Baa1/BBB) sold at 99.912 to yield 3.516%.
The notes have a make-whole call of 30 bps over Treasuries and feature a change-of-control put of 101%.
Citigroup Global Markets Inc. was the active bookrunner, and Bank of America Merrill Lynch was a passive bookrunner.
Co-managers were KeyBanc Capital Markets Corp., Loop Capital Markets, Mizuho Securities USA Inc., PNC Capital Markets LLC, Williams Capital Group LP and U.S. Bancorp Investments.
Proceeds are going to repay commercial paper maturing within 25 days and bearing an effective interest rate of 0.45%. They will also be used for general corporate purposes, including working capital and capital expenditures.
The transportation leasing service is based in Chicago.
| Issuer: | GATX Corp.
|
| Issue: | Senior notes
|
| Amount: | $250 million
|
| Maturity: | July 15, 2016
|
| Bookrunners: | Citigroup Global Markets Inc. (active), Bank of America Merrill Lynch (passive)
|
| Co-managers: | KeyBanc Capital Markets Corp., Loop Capital Markets, Mizuho Securities USA Inc., PNC Capital Markets LLC, Williams Capital Group LP, U.S. Bancorp Investments
|
| Coupon: | 3.5%
|
| Price: | 99.912
|
| Yield: | 3.516%
|
| Spread: | Treasuries plus 200 bps
|
| Call: | Make-whole at Treasuries plus 30 bps
|
| Change-of-control put: | 101%
|
| Trade date: | Nov. 16
|
| Settlement date: | Nov. 19
|
| Ratings: | Moody's: Baa1
|
| Standard & Poor's: BBB
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
