By Cristal Cody
Tupelo, Miss., Sept. 9 – Nutrition & Biosciences, Inc. sold $6.25 billion of guaranteed senior notes (Baa3/BBB/BBB) in six tranches on Wednesday, according to an informed source and a press release.
A $300 million offering of 0.697% two-year notes priced with a spread of Treasuries plus 55 basis points.
Initial price talk was at the Treasuries plus 80 bps area.
The company sold $1 billion of 1.23% five-year notes at a 95 bps over Treasuries spread.
The notes were guided at the 120 bps spread area.
A $1.2 billion tranche of 1.832% seven-year notes, guided at the 160 bps over Treasuries area, priced with a 135 bps spread.
Nutrition & Biosciences sold $1.5 billion of 2.3% 10-year notes at a spread of Treasuries plus 160 bps.
Initial guidance was in the 180 bps spread area.
A $750 million offering of 3.268% 20-year notes was sold with a 180 bps over Treasuries spread, versus talk at the 210 bps over Treasuries area.
In the final tranche, $1.5 billion of 3.468% 30-year bonds priced at Treasuries plus 200 bps.
The bonds were talked in the 230 bps spread area.
Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC were the bookrunners.
The company will be spun off from DuPont de Nemours, Inc. to merge with International Flavors & Fragrances Inc.
The notes will be guaranteed by International Flavors & Fragrances Inc.
Proceeds from the offering will be used to help fund the acquisition, which is expected to close in the first quarter of 2021.
Before the merger, Nutrition & Biosciences will make a special cash payment of $7.3 billion to DuPont, which the company plans to finance with the proceeds from the notes offering and borrowings under its existing term loan facilities.
International Flavors & Fragrances is a New York City-based company that produces flavors and fragrances for use in products including cosmetics, detergents, household goods, foods and beverages.
| Issuer: | Nutrition & Biosciences, Inc.
|
| Guarantor: | International Flavors & Fragrances Inc.
|
| Amount: | $6.25 billion
|
| Description: | Senior notes
|
| Bookrunners: | Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC
|
| Trade date: | Sept. 9
|
| Settlement date: | Sept. 16
|
| Ratings: | Moody’s: Baa3
|
| S&P: BBB
|
| Fitch: BBB
|
| Distribution: | Rule 144A and Regulation S
|
|
|
| Two-year notes
|
| Amount: | $300 million
|
| Maturity: | Sept. 15, 2022
|
| Coupon: | 0.697%
|
| Spread: | Treasuries plus 55 bps
|
| Price guidance: | Treasuries plus 80 bps area
|
|
|
| Five-year notes
|
| Amount: | $1 billion
|
| Maturity: | Oct. 1, 2025
|
| Coupon: | 1.23%
|
| Spread: | Treasuries plus 95 bps
|
| Price guidance: | Treasuries plus 120 bps area
|
|
|
| Seven-year notes
|
| Amount: | $1.2 billion
|
| Maturity: | Oct. 15, 2027
|
| Coupon: | 1.832%
|
| Spread: | Treasuries plus 135 bps
|
| Price guidance: | Treasuries plus 160 bps area
|
|
|
| 10-year notes
|
| Amount: | $1.5 billion
|
| Maturity: | Nov. 1, 2030
|
| Coupon: | 2.3%
|
| Spread: | Treasuries plus 160 bps
|
| Price guidance: | Treasuries plus 180 bps area
|
|
|
| 20-year notes
|
| Amount: | $750 million
|
| Maturity: | Nov. 15, 2040
|
| Coupon: | 3.268%
|
| Spread: | Treasuries plus 180 bps
|
| Price guidance: | Treasuries plus 210 bps area
|
|
|
| 30-year notes
|
| Amount: | $1.5 billion
|
| Maturity: | Dec. 1, 2050
|
| Coupon: | 3.468%
|
| Spread: | Treasuries plus 200 bps
|
| Price guidance: | Treasuries plus 230 bps area
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
