By Mary-Katherine Stinson
Lexington, Ky., April 23 – Citigroup Inc. priced C$1 billion of 5.07% fixed-rate/floating-rate callable senior notes due 2028 (A3/BBB+/A) on Monday, according to an FWP filed with the Securities and Exchange Commission.
The notes priced at a spread of 107 basis points to the Government of Canada curve, interpolated between CAN 1.25% due March 1, 2027 and CAN 2.75% due Sept. 1, 2027, or 103.5 bps to the related benchmark Canadian Treasury to price at $92.563 to yield 4.035%.
The coupon resets to daily compounded Corra plus 99 bps after the initial fixed-rate period, which ends one year prior to maturity.
Citigroup may redeem the notes beginning Oct. 29, 2024, six months after issue, at the greater of par and the Canada yield price. The issuer has the option to redeem the notes in whole at par on April 29, 2027, or anytime at par because of changes in U.S. tax law.
Citigroup Global Markets Inc., TD Securities Inc., RBC Dominion Securities Inc., Scotia Capital Inc., BMO Nesbitt Burns Inc., CIBC World Markets Inc. and National Bank Financial Inc. are the bookrunners.
The investment bank and financial services company is based in New York.
| Issuer: | Citigroup Inc.
|
| Amount: | C$1 billion
|
| Issue: | Fixed-rate/floating-rate callable senior notes
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| Maturity: | April 29, 2028
|
| Bookrunners: | Citigroup Global Markets Inc., TD Securities Inc., RBC Dominion Securities Inc., Scotia Capital Inc., BMO Nesbitt Burns Inc., CIBC World Markets Inc. and National Bank Financial Inc.
|
| Co-manager: | Desjardins Securities Inc.
|
| Trustee: | Citibank, NA, London office
|
| Coupon: | 5.07% initially; resets on April 29, 2027 to Corra plus 99 bps
|
| Price: | Par of C$100
|
| Yield: | 5.07%
|
| Spread: | Interpolated government of Canada curve plus 107 bps or Canadian Treasuries plus 103.5 bps
|
| Call features: | At the greater of par and the Canadian yield price beginning Oct. 29, 2024; at par on April 29, 2027
|
| Trade date: | April 22
|
| Settlement date: | April 29
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| Ratings: | Moody’s: A3
|
| S&P: BBB+
|
| Fitch: A
|
| Distribution: | Registered global note
|
| Cusip: | 172967MJ7
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