New Issue: Citigroup prices $5.5 billion green floaters, fixed-to-floaters in three parts

By Marisa Wong and Cristal Cody

Los Angeles, Jan. 19 – Citigroup Inc. priced $2.5 billion of floating-rate and fixed-to-floating rate affordable housing senior notes in two tranches as well as a third tranche of fixed-to-floating rate notes (A3/BBB+/A), according to FWP filings with the Securities and Exchange Commission.

Citigroup priced $2 billion of 2.014% fixed-to-floating rate callable affordable housing notes due Jan. 25, 2026 at par to yield 2.014%, or a spread of 67 basis points to Treasuries. The notes were talked in the Treasuries plus 85 bps area.

The coupon will reset on Jan. 25, 2025 to SOFR plus 69.4 bps.

The $500 million of affordable housing floaters, also due Jan. 25, 2026, will accrue interest at SOFR plus 69.4 bps and were sold at par.

The $3 billion tranche of 3.057% callable fixed-to-floaters due Jan. 25, 2033 were priced at par to yield 3.057%, or a spread of 118 bps over Treasuries. Talk was in the Treasuries plus 135 bps area.

The interest rate converts on Jan. 25, 2032 to SOFR plus 135.1 bps.

The fixed-to-floaters have a make-whole call and then a par call. The floaters are callable at par on Jan. 25, 2025 and on or after Dec. 25, 2025.

Citigroup Global Markets Inc. is the bookrunner.

Proceeds from the first two tranches will be used to finance or refinance affordable housing assets, consisting of financing instruments primarily intended to finance the construction, rehabilitation or preservation of quality affordable housing for low- and moderate-income populations in the United States as described under Citigroup’s social bond framework for affordable housing.

The financial services company is based in New York.

Issuer:	Citigroup Inc.
Amount:	$5.5 billion
Issue:	Senior notes
Bookrunner:	Citigroup Global Markets Inc.
Pricing date:	Jan. 18
Settlement date:	Jan. 25
Ratings:	Moody’s: A3
	S&P: BBB+
	Fitch: A
2026 fixed-to-floaters
Amount:	$2 billion
Issue:	Fixed-to-floating rate affordable housing senior notes
Maturity:	Jan. 25, 2026
Senior co-managers:	Blaylock Van, LLC, CastleOak Securities, LP, Global Oak Capital Markets LLC, Loop Capital Markets LLC and Security Capital Brokerage, Inc.
Coupon:	2.014%; resets Jan. 25, 2025 to SOFR plus 69.4 bps
Price:	Par
Yield:	2.014%
Spread:	Treasuries plus 67 bps
Call features:	Make-whole call at Treasuries plus 12 bps on or after July 25, 2022 until Jan. 25, 2025, then par call; at par for tax reasons
Price talk:	Treasuries plus 85 bps area
Cusip:	17327CAN3
2026 floaters
Amount:	$500 million
Issue:	Global floating-rate affordable housing senior notes
Maturity:	Jan. 25, 2026
Senior co-managers:	Blaylock Van, LLC, CastleOak Securities, LP, Global Oak Capital Markets LLC, Loop Capital Markets LLC and Security Capital Brokerage, Inc.
Coupon:	SOFR plus 69.4 bps
Price:	Par
Yield:	SOFR plus 69.4 bps
Call option:	At par on Jan. 25, 2025 or on or after Dec. 25, 2025; at par for tax reasons
Cusip:	17327CAP8
2033 notes
Amount:	$3 billion
Issue:	Fixed-to-floating rate senior notes
Maturity:	Jan. 25, 2033
Senior co-managers:	Academy Securities, Inc., ANZ Securities, Inc., Bank of China Ltd., London Branch, Barclays, BBVA Securities Inc., BMO Capital Markets Corp., Capital One Securities, Inc., Deutsche Bank Securities Inc., Drexel Hamilton, LLC, HSBC Securities (USA) Inc., ICBC Standard Bank plc, Intesa Sanpaolo SpA, Lloyds Securities Inc., Mizuho Securities USA LLC, MUFG, National Bank of Canada Financial Inc., Natixis Securities Americas LLC, Nordea Bank Abp, PNC Capital Markets LLC, RBC Capital Markets, LLC, Santander Investment Securities Inc., Scotia Capital (USA) Inc., SMBC Nikko Securities America, Inc., Standard Chartered Bank, TD Securities (USA) LLC, UBS Securities LLC, UniCredit Capital Markets LLC and Westpac Capital Markets LLC
Junior co-managers:	ABN Amro Securities (USA) LLC, Banco de Sabadell, SA, BNY Mellon Capital Markets, LLC, C.L. King & Associates, Inc., Cabrera Capital Markets LLC, CIBC World Markets Corp., Commerz Markets LLC, Commonwealth Bank of Australia, Credit Suisse Securities (USA) LLC, Desjardins Securities Inc., DZ Financial Markets LLC, ING Financial Markets LLC, MFR Securities, Inc., nabSecurities, LLC, NatWest Markets Securities Inc., Nomura Securities International, Inc., Penserra Securities LLC, Rabo Securities USA, Inc., Roberts & Ryan Investments, Inc., SG Americas Securities, LLC, Siebert Williams Shank & Co., LLC, Skandinaviska Enskilda Banken AB (publ) and U.S. Bancorp Investments, Inc.
Coupon:	3.057% initially, resets on Jan. 25, 2032 to SOFR plus 135.1 bps
Price:	Par
Yield:	3.057%
Spread:	Treasuries plus 118 bps
Call features:	Make-whole call at Treasuries plus 20 bps on or after July 25, 2022 until Jan. 25, 2032, then par call; at par for tax reasons
Price talk:	Treasuries plus 135 bps area
Cusip:	17327CAQ6

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