By Devika Patel and Cristal Cody
Knoxville, Tenn., Jan. 28 – 7-Eleven, Inc. priced a $10.95 billion eight-part offering of notes (Baa2/AA-) on Wednesday, according to a market source.
A $1.5 billion floating-rate tranche due Aug. 10, 2022 priced at Libor plus 45 basis points. Initial price talk was in the Libor plus 70 bps area.
The company sold $1.25 billion of 0.625% notes due Feb. 10, 2023 at a spread of Treasuries plus 55 bps. Initial price talk was in the Treasuries plus 80 bps area.
The company sold $2.25 billion of 0.8% notes due Feb. 10, 2024 at a spread of Treasuries plus 65 bps. Initial price talk was in the Treasuries plus 90 bps area.
7-Eleven sold $1.25 billion of 0.95% notes due Feb. 10, 2026 at a spread of 60 bps over Treasuries. Initial price talk was in the Treasuries plus 90 bps area.
A $1 billion tranche of 1.3% notes due Feb. 10, 2028 was sold at a spread of 65 bps over Treasuries. Initial price talk was in the Treasuries plus 100 bps area.
The company priced $1.7 billion of 1.8% notes due Feb. 10, 2031 with a Treasuries plus 80 bps spread. Initial price talk was in the Treasuries plus 110 bps area.
A $750 million tranche of 2.5% notes due Feb. 10, 2041 was sold at a spread of 100 bps over Treasuries. Initial price talk was in the Treasuries plus 135 bps area.
In the final tranche, $1.25 billion of 2.8% notes due Feb. 10, 2051 priced at a 105 bps over Treasuries spread. Initial price talk was in the Treasuries plus 135 bps area.
BofA Securities Inc., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and SMBC Nikko Securities America Inc. were the bookrunners.
The company held fixed income investor calls on Tuesday for the deal.
Proceeds, according to Moody’s Investors Service, will be used to finance the acquisition of Speedway’s retail locations from Marathon Petroleum Corp.
7-Eleven is an international chain of convenience stories with headquarters in Dallas.
| Issuer: | 7-Eleven, Inc.
|
| Amount: | $10.95 billion
|
| Description: | Notes
|
| Bookrunners: | BofA Securities Inc., Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and SMBC Nikko Securities America Inc.
|
| Trade date: | Jan. 27
|
| Ratings: | Moody’s: Baa2
|
| S&P: AA-
|
| Marketing: | Fixed income investor calls
|
|
|
| Floaters
|
| Amount: | $1.5 billion
|
| Maturity: | Aug. 10, 2022
|
| Coupon: | Libor plus 45 bps
|
| Price guidance: | Libor plus 70 bps area
|
|
|
| 2023 notes
|
| Amount: | $1.25 billion
|
| Maturity: | Feb. 10, 2023
|
| Coupon: | 0.625%
|
| Spread: | Treasuries plus 55 bps
|
| Price guidance: | Treasuries plus 80 bps area
|
|
|
| 2024 notes
|
| Amount: | $2.25 billion
|
| Maturity: | Feb. 10, 2024
|
| Coupon: | 0.8%
|
| Spread: | Treasuries plus 65 bps
|
| Price guidance: | Treasuries plus 90 bps area
|
|
|
| 2026 notes
|
| Amount: | $1.25 billion
|
| Maturity: | Feb. 10, 2026
|
| Coupon: | 0.95%
|
| Spread: | Treasuries plus 60 bps
|
| Price guidance: | Treasuries plus 90 bps area
|
|
|
| 2028 notes
|
| Amount: | $1 billion
|
| Maturity: | Feb. 10, 2028
|
| Coupon: | 1.3%
|
| Spread: | Treasuries plus 65 bps
|
| Price guidance: | Treasuries plus 100 bps area
|
|
|
| 2031 notes
|
| Amount: | $1.7 billion
|
| Maturity: | Feb. 10, 2031
|
| Coupon: | 1.8%
|
| Spread: | Treasuries plus 80 bps
|
| Price guidance: | Treasuries plus 110 bps area
|
|
|
| 2041 notes
|
| Amount: | $750 million
|
| Maturity: | Feb. 10, 2041
|
| Coupon: | 2.5%
|
| Spread: | Treasuries plus 100 bps
|
| Price guidance: | Treasuries plus 135 bps area
|
|
|
| 2051 notes
|
| Amount: | $1.25 billion
|
| Maturity: | Feb. 10, 2051
|
| Coupon: | 2.8%
|
| Spread: | Treasuries plus 105 bps
|
| Price guidance: | Treasuries plus 135 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.
