By Devika Patel
Knoxville, Tenn., Aug. 18 – Intercontinental Exchange Inc. offered further details, including the price and yield, about a $6.5 billion sale of senior notes (A3/BBB+) that priced in five tranches on Monday, according to an FWP filed with the Securities and Exchange Commission.
The company priced $1.25 billion of three-year floating-rate notes at Libor plus 65 basis points. These notes priced at par.
Initial price talk was in the Libor plus 90 bps area.
A $1 billion tranche of 0.7% three-year fixed-rate notes priced at a spread of 55 bps over Treasuries. These notes priced at 99.903 to yield 0.735%.
The notes were initially talked at the 80 bps spread area.
The company sold $1.5 billion of 1.85% notes due Sept. 15, 2032 at a Treasuries plus 120 bps spread. These notes priced at 99.559 to yield 1.891%.
Initial price talk was at the 150 bps over Treasuries area.
Intercontinental Exchange sold $1.25 billion of 2.65% 20-year notes with a 125 bps over Treasuries spread. These notes priced at 99.32 to yield 2.694%.
Talk was at the 145 bps spread area.
In the final tranche, $1.5 billion of 3% 40-year notes were sold at a 160 bps over Treasuries spread. These notes priced at 98.984 to yield 3.044%.
Initial price guidance was in the 180 bps over Treasuries area.
BofA Securities, Inc., J.P. Morgan Securities LLC, Wells Fargo Securities, LLC, MUFG, Citigroup Global Markets Inc. and Credit Suisse Securities (USA) LLC were the bookrunners.
The company plans to use proceeds from the new notes, together with funds from the issuance of commercial paper or borrowings under its revolver and new term loan, to finance the cash portion of its acquisition of Ellie Mae.
Ellie Mae is a Pleasanton, Calif.-based cloud-based platform provider for the mortgage finance industry.
Atlanta-based Intercontinental Exchange is a network of regulated exchanges and clearing houses for commodity, fixed-income and equity markets.
| Issuer: | Intercontinental Exchange Inc.
|
| Amount: | $6.5 billion
|
| Description: | Senior notes
|
| Bookrunners: | BofA Securities, Inc., J.P. Morgan Securities LLC, Wells Fargo Securities, LLC, MUFG, Citigroup Global Markets Inc. and Credit Suisse Securities (USA) LLC
|
| Senior co-managers: | BBVA Securities Inc., BMO Capital Markets Corp., Fifth Third Securities, Inc., Mizuho Securities USA LLC and PNC Capital Markets LLC
|
| Co-managers: | Goldman Sachs & Co. LLC and SG Americas Securities, LLC
|
| Trade date: | Aug. 17
|
| Settlement date: | Aug. 20
|
| Ratings: | Moody’s: A3
|
| S&P: BBB+
|
| Distribution: | SEC registered
|
|
|
| Three-year floaters
|
| Amount: | $1.25 billion
|
| Maturity: | June 15, 2023
|
| Coupon: | Libor plus 65 bps
|
| Price: | Par
|
| Call: | Par call at any time on or after Aug. 20, 2021
|
| Price guidance: | Libor plus 90 bps area
|
|
|
| Three-year notes
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| Amount: | $1 billion
|
| Maturity: | June 15, 2023
|
| Coupon: | 0.7%
|
| Price: | 99.903
|
| Yield: | 0.735%
|
| Spread: | Treasuries plus 55 bps
|
| Call: | Make-whole call at Treasuries plus 10 bps
|
| Price guidance: | Treasuries plus 80 bps area
|
|
|
| 12-year notes
|
| Amount: | $1.5 billion
|
| Maturity: | Sept. 15, 2032
|
| Coupon: | 1.85%
|
| Price: | 99.559
|
| Yield: | 1.891%
|
| Spread: | Treasuries plus 120 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps until June 15, 2032, then a par call
|
| Price guidance: | Treasuries plus 150 bps area
|
|
|
| 20-year notes
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| Amount: | $1.25 billion
|
| Maturity: | Sept. 15, 2040
|
| Coupon: | 2.65%
|
| Price: | 99.32
|
| Yield: | 2.694%
|
| Spread: | Treasuries plus 125 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps until March 15, 2040, then a par call
|
| Price guidance: | Treasuries plus 145 bps area
|
|
|
| 40-year notes
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| Amount: | $1.5 billion
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| Maturity: | Sept. 15, 2060
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| Coupon: | 3%
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| Price: | 98.984
|
| Yield: | 3.044%
|
| Spread: | Treasuries plus 160 bps
|
| Call: | Make-whole call at Treasuries plus 25 bps until March 15, 2060, then a par call
|
| Price guidance: | Treasuries plus 180 bps area
|
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