By Wendy Van Sickle and Cristal Cody
Columbus, Ohio, Feb. 22 – National Rural Utilities Cooperative Finance Corp. (A2/A/A) priced $675 million of notes in two parts on Monday, according to two filings with the Securities and Exchange Commission.
National Rural priced $75 million of 0.25% two-year senior notes at 99.922 to yield 0.289%.
The notes priced at a spread of Treasuries plus 18 basis points.
The company priced $600 million of 1% senior notes due June 15, 2026 at 99.743 to yield 1.05%.
The notes priced at a spread of Treasuries plus 45 bps. They were talked in the Treasuries plus 60 bps area.
Mizuho Securities USA LLC was the agent for the notes due 2023. J.P. Morgan Securities LLC, KeyBanc Capital Markets, Inc., Mizuho, PNC Capital Markets LLC, Truist Securities, Inc. and Regions Securities LLC were the agents for the 2026 notes.
Proceeds will be used for general corporate purposes.
The market lender for electric cooperatives is based in Herndon, Va.
| Issuer: | National Rural Utilities Cooperative Finance Corp.
|
| Amount: | $675 million
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| Description: | Senior notes
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| Trade date: | Feb. 22
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| Settlement date: | Feb. 24
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| Issuer ratings: | Moody’s: A2
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| S&P: A
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| Fitch: A
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| Distribution: | SEC registered
|
|
|
| 2023 notes
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| Amount: | $75 million
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| Maturity: | Feb. 24, 2023
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| Agent: | Mizuho Securities USA LLC
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| Coupon: | 0.25%
|
| Price: | 99.922
|
| Yield: | 0.289%
|
| Spread: | Treasuries plus 18 bps
|
| Call option: | Make-whole call at any time
|
|
|
| 2026 notes
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| Amount: | $600 million
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| Maturity: | June 15, 2026
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| Agents: | J.P. Morgan Securities LLC, KeyBanc Capital Markets, Inc., Mizuho Securities USA LLC, PNC Capital Markets LLC, Truist Securities, Inc. and Regions Securities LLC
|
| Coupon: | 1%
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| Price: | 99.743
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| Yield: | 1.05%
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| Spread: | Treasuries plus 45 bps
|
| Call option: | Make-whole redemption at Treasuries plus 10 bps until May 15, 2026, par call thereafter
|
| Talk: | Treasuries plus 60 bps area
|
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