By Cristal Cody
Chicago, Nov. 2 – American Express Co. sold $3 billion of notes (A3/BBB+/A) in four parts on Monday, according to an FWP filed with the Securities and Exchange Commission.
The offering includes:
• $800 million of 0.75% fixed-rate notes due Nov. 3, 2023 priced at 99.99 to yield 0.755%, or with a spread of Treasuries plus 25 basis points after talk in the 40 bps area over Treasuries;
• $600 million of floating-rate notes due Nov. 3, 2023 with a coupon based on SOFR plus 23 bps, priced at par;
• $1.1 billion of 1.65% fixed-rate notes due Nov. 4, 2026, priced at 99.842 to yield 1.683%, or with a spread of 50 bps over Treasuries which came 15 bps lower than talk in the Treasuries pus 65 bps area; and
• $500 million of floating-rate notes due Nov. 4, 2026 with a coupon based on SOFR plus a 65 bps spread.
The 2023 notes are non-callable. The 2026 notes can be redeemed at par 31 days before the maturity date.
Deutsche Bank Securities Inc., BofA Securities, Inc., Credit Suisse Securities (USA) LLC and Mizuho Securities USA LLC are the bookrunners.
Proceeds will be used for general corporate purposes.
The credit card services company is based in New York.
| Issuer: | American Express Co.
|
| Issue: | Fixed-rate notes and floating-rate notes
|
| Amount: | $3 billion
|
| Bookrunners: | Deutsche Bank Securities Inc., BofA Securities, Inc., Credit Suisse Securities (USA) LLC and Mizuho Securities USA LLC
|
| Senior co-managers: | Lloyds Securities Inc., MUFG, NatWest Markets Securities Inc., SMBC Nikko Securities America, Inc. and Standard Chartered Bank
|
| Junior co-managers: | Drexel Hamilton, LLC and R. Seelaus & Co., LLC
|
| Trustee: | Bank of New York Mellon
|
| Counsel to issuer: | Cleary Gottlieb Steen & Hamilton LLP
|
| Counsel to bookrunners: | Skadden, Arps, Slate, Meagher & Flom LLP
|
| Trade date: | Nov. 1
|
| Settlement date: | Nov. 4
|
| Ratings: | Moody’s: A3
|
| S&P: BBB+
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| 2023 fixed-rate
|
| Amount: | $800 million
|
| Issue: | Senior notes
|
| Maturity: | Nov. 3, 2023
|
| Coupon: | 0.75%
|
| Price: | 99.99
|
| Yield: | 0.755%
|
| Spread: | Treasuries plus 25 bps
|
| Call features: | Callable 31 days before maturity at par
|
| Price talk: | Treasuries plus 40 bps area
|
| Cusip: | 025816CK3
|
|
|
| 2023 floating-rate
|
| Amount: | $600 million
|
| Issue: | Floating-rate notes
|
| Maturity: | Nov. 3, 2023
|
| Coupon: | SOFR plus 23 bps
|
| Price: | Par
|
| Yield: | SOFR plus 23 bps
|
| Call features: | Non-callable
|
| Cusip: | 025816CJ6
|
|
|
| 2026 fixed-rate
|
| Amount: | $1.1 billion
|
| Issue: | Senior notes
|
| Maturity: | Nov. 4, 2026
|
| Coupon: | 1.65%
|
| Price: | 99.842
|
| Yield: | 1.683%
|
| Spread: | Treasuries plus 50 bps
|
| Call features: | Callable 31 days before maturity at par
|
| Price talk: | Treasuries plus 65 bps
|
| Cusip: | 025816CM9
|
|
|
| 2026 floating-rate
|
| Amount: | $500 million
|
| Issue: | Floating-rate notes
|
| Maturity: | Nov. 4, 2026
|
| Coupon: | SOFR plus 65 bps
|
| Price: | Par
|
| Yield: | SOFR plus 65 bps
|
| Call features: | Non-callable
|
| Cusip: | 025816CL1
|
|
|
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