New Issue: Ally Financial prices $1 billion 6¼% seven-year notes to yield 6½%

By Paul A. Harris

St. Louis, Nov. 15 - Ally Financial Inc. priced a $1 billion issue of 6¼% seven-year senior guaranteed notes (expected ratings B3/B/B) at 98.602 to yield 6½% on Monday, according to an informed source.

The yield printed at the wide end of the 6 3/8% to 6½% price talk.

Barclays Capital Inc., Citigroup Global Markets Inc., J.P. Morgan Securities LLC and Bank of America Merrill Lynch were the joint bookrunners for the quick-to-market deal, which launched earlier Monday at benchmark size.

The automotive lender, previously known as GMAC Inc., will use the proceeds for general corporate purposes.

Issuer:	Ally Financial Inc.
Face amount:	$1 billion
Proceeds:	$986.02 million
Maturity:	Dec. 1, 2017
Securities:	Senior guaranteed notes
Bookrunners:	Barclays Capital Inc., Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Bank of America Merrill Lynch
Co-managers:	BNP Paribas Securities Corp., RBC Capital Markets Corp., RBS Securities Inc., Scotia Capital, MFR Securities, Williams Capital Group
Coupon:	6¼%
Price:	98.602
Yield:	6½%
Spread:	434.8 bps
Call protection:	Non-callable
Trade date:	Nov. 15
Settlement date:	Nov. 18
Expected ratings:	Moody's: B3
	Standard & Poor's: B
	Fitch: B
Distribution:	Rule 144A and Regulation S with registration rights
Price talk:	6 3/8% to 6½%
Marketing:	Quick to market

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