Cigna, KKR upsize; Noble meets demand; QVC pulls deal; Southwestern mixed; Exxon Mobil soft

By Aleesia Forni and Cristal Cody

Virginia Beach, March 11 – Issuers were met with varied reactions to new deals coming to market on Wednesday, as Cigna Corp., KKR & Co. LP and Omega Healthcare Investors, Inc. priced upsized offerings, while QVC Inc. was forced to pull its planned new issue.

Canada was also in the market on Wednesday with a $3.5 billion offering of bonds.

The session also saw Noble Energy Inc., Air Canada and Federal Realty Investment Trust bring new deals to market.

Elsewhere on Wednesday, QVC cited current market conditions for its withdrawal of a planned add-on to its 5.95% senior notes due March 15, 2043, according to a release.

In total, the session hosted $7.93 billion of issuance. This figure pushes the week’s total supply to more than $39.9 billion.

High-grade bonds headed out mostly flat over the day, sources said.

The Markit CDX North American Investment Grade series 23 index was unchanged at a spread of 65 basis points.

Southwestern Energy Co.’s senior notes (Baa3/BBB-/) were mixed in the secondary market, with the short-dated tranches trading stronger.

Exxon Mobil Corp.’s senior notes (Aaa/AAA/) priced a week ago traded 2 bps to 5 bps weaker than issuance.

Microsoft Corp.’s bonds (Aaa/AAA/) improved modestly on the long end.

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