By Devika Patel
Knoxville, Tenn., June 22 – Martin Marietta Materials Inc. offered further details, including the spread and yield, about a $2.5 billion sale of fixed-rate senior notes (Baa2/BBB+/BBB) that priced in three tranches on Monday, according to an FWP filed with the Securities and Exchange Commission.
The company priced $700 million of 0.65% senior notes due July 15, 2023 at 99.988 to yield 0.656%, with a spread of Treasuries plus 40 basis points. This tranche was talked in the Treasuries plus 60 bps area, according to a market source.
The issuer priced $900 million of 2.4% senior notes due July 15, 2031 at 99.937 to yield 2.407%, with a spread of Treasuries plus 92 bps. These notes were talked to yield in the 115 bps area over Treasuries.
And Marin Marietta priced $900 million of 3.2% senior notes due July 15, 2051 at 99.197 to yield 3.242%, with a spread of Treasuries plus 112 bps. This tranche was talked with a yield in the 135 bps area over Treasuries.
Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Truist Securities Inc. and Wells Fargo Securities LLC were the bookrunners.
Proceeds will be used to acquire the Lehigh West Region Business from Lehigh Cement Co. LLC and for general corporate purposes.
The producer of construction aggregates is based in Raleigh, N.C.
| Issuer: | Martin Marietta Materials Inc.
|
| Issue: | Fixed-rate senior notes
|
| Amount: | $2.5 billion
|
| Bookrunners: | Deutsche Bank Securities Inc., J.P. Morgan Securities LLC, Truist Securities Inc. and Wells Fargo Securities LLC
|
| Co-managers: | Loop Capital Markets LLC, PNC Capital Markets LLC, Regions Securities LLC, MUFG and Comerica Securities Inc.
|
| Pricing date: | June 21
|
| Settlement date: | July 2
|
| Ratings: | Moody’s: Baa2
|
| S&P: BBB+
|
| Fitch: BBB
|
|
|
| Two-year notes
|
| Amount: | $700 million
|
| Maturity: | July 15, 2023
|
| Coupon: | 0.65%
|
| Price: | 99.988
|
| Yield: | 0.656%
|
| Spread: | Treasuries plus 40 bps
|
| Call: | Make-whole call at Treasuries plus 10 bps until July 2, 2022, then a par call
|
| Talk: | Treasuries plus 60 bps area
|
|
|
| 10-year notes
|
| Amount: | $900 million
|
| Maturity: | July 15, 2031
|
| Coupon: | 2.4%
|
| Price: | 99.937
|
| Yield: | 2.407%
|
| Spread: | Treasuries plus 92 bps
|
| Call: | Make-whole call at Treasuries plus 15 bps until April 15, 2031, then a par call
|
| Talk: | Treasuries plus 115 bps area
|
|
|
| 30-year notes
|
| Amount: | $900 million
|
| Maturity: | July 15, 2051
|
| Coupon: | 3.2%
|
| Price: | 99.197
|
| Yield: | 3.242%
|
| Spread: | Treasuries plus 112 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps until Jan. 15, 2051, then a par call
|
| Talk: | Treasuries plus 135 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.
