By Devika Patel
Knoxville, Tenn., May 15 – American Express Co. offered further details about a $2 billion sale of senior notes (A3/BBB+/A) that priced in two tranches on Monday, according to an FWP filed with the Securities and Exchange Commission.
The company priced $800 million of three-year floating-rate notes at Libor plus 52.5 basis points. These notes priced at par.
American Express sold $1.2 billion of 3.375% three-year fixed-rate notes at a spread of 68 bps over Treasuries. These notes priced at 99.983 to yield 3.381%.
Barclays, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc. and RBC Capital Markets LLC were the bookrunners.
Proceeds will be used for general corporate purposes.
The credit card services company is based in New York.
| Issuer: | American Express Co.
|
| Amount: | $2 billion
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| Description: | Senior notes
|
| Call: | Callable at par plus interest 31 days prior to maturity
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| Bookrunners: | Barclays, Deutsche Bank Securities Inc., HSBC Securities (USA) Inc. and RBC Capital Markets LLC
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| Co-managers: | Lloyds Securities Inc., MUFG, NatWest Markets Securities Inc., TD Securities (USA) LLC and U.S. Bancorp Investments Inc.
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| Junior co-managers: | RedTail Capital Markets, LLC and Westpac Capital Markets LLC
|
| Trade date: | May 14
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| Settlement date: | May 17
|
| Ratings: | Moody’s: A3
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| S&P: BBB+
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| Fitch: A
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| Distribution: | SEC registered
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|
| Three-year floaters
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| Amount: | $800 million
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| Securities: | Floating-rate notes
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| Maturity: | May 17, 2021
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| Coupon: | Libor plus 52.5 bps
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| Price: | Par
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|
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| Three-year notes
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| Amount: | $1.2 billion
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| Securities: | Fixed-rate notes
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| Maturity: | May 17, 2021
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| Coupon: | 3.375%
|
| Price: | 99.983
|
| Yield: | 3.381%
|
| Spread: | Treasuries plus 68 bps
|
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