Fiserv, Aircastle, World Bank price notes; International Flavors, Suncorp-Metway eye deals

By Cristal Cody

Tupelo, Miss., Sept. 20 – In new pricing action on Thursday, Fiserv, Inc. brought $2 billion of high-grade senior notes in two tranches to the primary market.

Aircastle Ltd. upsized its offering of five-year notes from $500 million at the launch to price $650 million of the bonds.

Also, the International Bank for Reconstruction and Development, or World Bank, sold $4 billion of five-year global notes on Thursday.

In other activity, International Flavors & Fragrances Inc. planned to hold a roadshow on Thursday and Friday for a dollar-denominated multiple-tranche offering of notes.

The company also priced a €1.1 billion two-part offering of euro-denominated senior notes on Thursday to pay a portion of the merger costs to acquire Frutarom Industries Ltd.

Looking ahead, Australian financial services company Suncorp-Metway Ltd. plans to tap the dollar market with a Rule 144A and Regulation S note offering.

Investment-grade issuers have priced more than $34 billion of bonds week to date with most of the bonds seen modestly better in the secondary market, a source said.

Nestle Holdings Inc.’s $8 billion of bonds (Aa2/AA-/) priced in six tranches on Monday were trading about 2 basis points to 5 bps tighter than issuance.

The Markit CDX North American Investment Grade index rolled to a new series on Thursday and ended about 5 bps wider. The Markit CDX North American Investment Grade 31 index closed at a spread of 61 bps.

Fiserv prices $2 billion

In corporate issuance on Thursday, Fiserv sold $2 billion of senior notes (Baa2/BBB/) in two parts, according to an FWP filing with the Securities and Exchange Commission.

A $1 billion tranche of 3.8% five-year notes priced at 99.954 to yield 3.81%, or a spread of Treasuries plus 85 bps.

Fiserv sold $1 billion of 4.2% 10-year notes at 99.805 to yield 4.224%. The notes priced with a Treasuries plus 115 bps spread.

Wells Fargo Securities LLC, U.S. Bancorp Investments Inc., J.P. Morgan Securities LLC, BofA Merrill Lynch, MUFG, PNC Capital Markets LLC and SunTrust Robinson Humphrey Inc. were the bookrunners.

Fiserv is a Brookfield, Wis., provider of financial services technology.

Aircastle upsizes

Aircastle priced $650 million of 4.4% five-year senior notes (Baa3/BBB-/BBB-) on Thursday at a spread of 148 bps over Treasuries, or 99.831 to yield 4.438%, according to an FWP filing with the SEC.

The deal was upsized from $500 million.

Goldman Sachs & Co. LLC, Citigroup Global Markets Inc., MUFG and RBC Capital Markets, LLC were the bookrunners.

Stamford, Conn.-based Aircastle acquires, leases and sells commercial jet aircraft to airlines.

World Bank raises $4 billion

World Bank sold $4 billion of 3% five-year global notes (Aaa/AAA/AAA) on Thursday at mid-swaps plus 2 bps, or Treasuries plus 14.14 bps, according to a market source.

The notes were initially talked to price with a spread in the mid-swaps plus 3 bps area with guidance later tightened to the mid-swaps plus 2 bps area.

Goldman Sachs, HSBC Securities (USA) Inc., RBC Capital Markets and TD Securities (USA) LLC were the bookrunners.

The global development financing cooperative is based in Washington, D.C.

International Flavors roadshow

International Flavors & Fragrances (Baa3/BBB/) is holding a roadshow on Thursday and Friday for a dollar-denominated multiple-tranche offering of notes, according to a market source.

BNP Paribas Securities Corp., Citigroup Global Markets, J.P. Morgan Securities and Morgan Stanley & Co. LLC are the roadshow arrangers.

The New York City-based company produces flavors and fragrances for use in products including cosmetics, detergents, household goods, foods and beverages.

Suncorp-Metway markets deal

Coming up in October, Suncorp-Metway (A1/A+/A+) plans to hold a roadshow for a dollar-denominated Rule 144A and Regulation S note offering, according to a market source.

Citigroup Global Markets, J.P. Morgan Securities and RBC Capital Markets are the arrangers.

Suncorp-Metway is a banking and financial services company based in Brisbane, Queensland, Australia.

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