By Andrea Heisinger
New York, Dec. 1 - Citigroup Inc. sold $1.875 billion of 4.587% five-year notes on Wednesday in a remarketing of junior subordinated deferrable interest debentures, a market source away from the deal said.
The 6.7% subordinated debentures mature on March 15, 2042. They were priced by Citigroup XXXI.
The new five-year notes (A3/A/) priced at a spread of 250 basis points over Treasuries. They are non-callable.
The notes were priced lower than guidance in the 270 bps area, the source said.
Full terms were not available at press time.
Agent for the remarketing was Citigroup Global Markets Inc.
Proceeds are being used to pay the remarketing agent and to purchase an interest-bearing deposit with Citibank NA. Any remainder will be remitted to holders of Upper DECS Equity Units.
The financial services company is based in New York City.
| Issuer: | Citigroup Inc.
|
| Issue: | Senior notes
|
| Amount: | $1.875 billion
|
| Maturity: | Dec. 15, 2015
|
| Agent: | Citigroup Global Markets Inc.
|
| Coupon: | 4.587%
|
| Spread: | Treasuries plus 250 bps
|
| Call: | Non-callable
|
| Trade date: | Dec. 1
|
| Settlement date: | Dec. 15
|
| Ratings: | Moody's: A3
|
| Standard & Poor's: A
|
| Notes remarketed: | 6.7% junior subordinated deferrable interest debentures due March 15, 2042, issued by Citigroup XXXI
|
| Price talk: | 270 bps area
|
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