By Andrea Heisinger
New York, June 4 - Aflac Inc. gave terms of its upsized $700 million trade of 10-year senior notes (A3/A-/) priced at par to yield 3.625% in an FWP filing with the Securities and Exchange Commission.
The size was increased from $500 million, a source said.
Pricing was at a spread of Treasuries plus 150 basis points. There is a make-whole call at Treasuries plus 20 bps.
Bookrunners were Goldman Sachs & Co., Mizuho Securities USA Inc., Morgan Stanley & Co. LLC and J.P. Morgan Securities LLC.
Proceeds will be used to repay, to redeem or repurchase one or more of ¥28.7 billion 1.47% Samurai notes due in July of 2014, ¥5.5 billion variable interest rate Samurai notes due July of 2014, $300 million of 3.45% senior notes due in August of 2015 and for general corporate purposes.
Aflac last sold bonds in a $250 million reopening of 2.65% notes due 2017 on July 27, 2012.
The company provides supplemental health and life insurance through its subsidiaries and is based in Columbus, Ga.
| Issuer: | Aflac Inc.
|
| Issue: | Senior notes
|
| Amount: | $700 million, upsized from $500 million
|
| Maturity: | June 15, 2023
|
| Bookrunners: | Goldman Sachs & Co., Mizuho Securities USA Inc., Morgan Stanley & Co. LLC, J.P. Morgan Securities LLC
|
| Senior co-managers: | Wells Fargo Securities LLC, BNY Mellon Capital Markets LLC, BofA Merrill Lynch, SMBC Nikko Capital Markets Ltd.
|
| Co-managers: | Credit Suisse Securities (USA) LLC, Fifth Third Securities Inc.
|
| Coupon: | 3.625%
|
| Price: | Par
|
| Yield: | 3.625%
|
| Spread: | Treasuries plus 150 bps
|
| Call: | Make-whole at Treasuries plus 20 bps
|
| Trade date: | June 3
|
| Settlement date: | June 10
|
| Ratings: | Moody's: A3
|
| Standard & Poor's: A-
|
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