By Paul A. Harris
Portland, Ore., June 6 – Grubhub Inc. priced a $500 million issue of eight-year senior notes (Ba3/BB) at par to yield 5½% on Thursday, according to market sources.
The deal was playing to a $3 billion-plus order book before final pricing was announced, according to a trader, who had the new Grubhub 5½% notes due 2027 trading as high as 102 on the break and heading out at 101½ bid, 101¾ offered late Thursday.
Final price talk was 5½% to 5¾%, ratcheted in from early guidance of 6% to 6¼%.
J.P. Morgan Securities LLC, BofA Securities Inc., Citigroup Global Markets Inc. and Goldman Sachs & Co. LLC were the joint bookrunners.
The Chicago-based online and mobile food-ordering and delivery company plans to use the proceeds to repay approximately $340 million under its secured credit facility.
| Issuer: | Grubhub Holdings Inc.
|
| Amount: | $500 million, increased from $400 million
|
| Tenor: | Eight years
|
| Securities: | Senior notes
|
| Bookrunners: | J.P. Morgan Securities LLC, BofA Securities Inc., Citigroup Global Markets Inc. and Goldman Sachs & Co. LLC
|
| Coupon: | 5½%
|
| Price: | Par
|
| Yield: | 5½%
|
| Call protection: | Three years
|
| Trade date: | June 6
|
| Settlement date: | June 19
|
| Ratings: | Moody's: Ba3
|
| S&P: BB
|
| Distribution: | Rule 144A for life
|
| Marketing: | Roadshow
|
© 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.
