By Cristal Cody
Tupelo, Miss., Oct. 23 – Citigroup Inc. priced $2.5 billion of 0.776% fixed-to-floating rate senior notes due Oct. 30, 2024 (A3/BBB+/A) on Friday at a spread of Treasuries plus 58 basis points, according to a market source.
Initial price talk on the social housing bonds was in the high 70 bps over Treasuries area.
Citigroup Global Markets Inc. was the bookrunner.
The notes will reset in October 2023 to a floating rate based on SOFR.
The New York-based financial services company plans to use the proceeds to finance or refinance affordable housing assets under the company’s social bond framework.
| Issuer: | Citigroup Inc.
|
| Amount: | $2.5 billion
|
| Maturity: | Oct. 30, 2024
|
| Description: | Fixed-to-floating rate senior social housing notes
|
| Bookrunner: | Citigroup Global Markets Inc.
|
| Co-managers: | Blaylock Van, LLC, CastleOak Securities LP, Loop Capital Markets LLC and Samuel A. Ramirez & Co. Inc.
|
| Coupon: | 0.776%; resets in October 2023 to floating rate based on SOFR
|
| Spread: | Treasuries plus 58 bps
|
| Call features: | Non-callable until April 2021; make-whole call until October 2023; thereafter at par
|
| Trade date: | Oct. 23
|
| Ratings: | Moody’s: A3
|
| S&P: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
| Price guidance: | Treasuries plus high 70 bps area
|
|
|
© 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.
