By Cristal Cody
Chicago, March 1 – American Express Co. sold a three-part transaction comprised of two series due 2025 and one part due 2027, according to information from a market source and a 424B2 filing with the Securities and Exchange Commission.
The two parts due March 4, 2025 included a $500 million tranche of floating-rate notes with a SOFR plus 93 basis points coupon. Initial price talk was SOFR plus an equivalent spread.
The second part of the 2025 set is $1.75 billion of 2.25% notes, priced at Treasuries plus an 80 bps spread, 25 bps low to talk in the 105 bps area.
The five-year tranche arrived as $1.75 billion of 2.55% notes, pricing with a 100 bps spread over Treasuries. The tranche also came 25 bps low to talk, in this case in the 125 bps area.
The SEC filing had the deal being structured as a two-part deal with par calls on the two tranches.
Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC will be the joint bookrunning managers for the offering.
Proceeds from the offering will be used for general corporate purposes.
The credit card services company is based in New York.
| Issuer: | American Express Co.
|
| Amount: | $4 billion
|
| Issue: | Floating-rate notes and fixed-rate notes
|
| Bookrunners: | Barclays, Citigroup Global Markets Inc., Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC
|
| Trustee: | Bank of New York Mellon
|
| Counsel to issuer: | In-house counsel
|
| Counsel to bookrunners: | Cleary Gottlieb Steen & Hamilton LLP
|
| Trade date: | March 1
|
| Distribution: | SEC registered
|
|
|
| Floaters
|
| Amount: | $500 million
|
| Issue: | Floating-rate notes
|
| Maturity: | March 4, 2025
|
| Coupon: | SOFR plus 93 bps
|
| Price talk: | SOFR plus equivalent spread
|
|
|
| Fixed
|
| Amount: | $1.75 billion
|
| Issue: | Fixed-rate notes
|
| Maturity: | March 4, 2025
|
| Coupon: | 2.25%
|
| Spread: | Treasuries plus 80 bps
|
| Price talk: | Treasuries plus 105 bps area
|
|
|
| 2027 notes
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| Amount: | $1.75 billion
|
| Issue: | Fixed-rate notes
|
| Maturity: | March 4, 2027
|
| Coupon: | 2.55%
|
| Spread: | Treasuries plus 100 bps
|
| Price talk: | Treasuries plus 125 bps area
|
|
|
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