Eversource Energy prices; Mercy Health sells bonds; December on target to hit deal low

By Cristal Cody

Tupelo, Miss., Dec. 10 – Two issuers tapped the high-grade primary market on Monday in what may be one of the busiest sessions left in the year.

Eversource Energy sold $900 million of senior notes in two parts on the tight side of guidance.

In the new offering on Monday, the company placed a $500 million tranche of long 10-year notes with a spread of Treasuries plus 147 basis points.

In other issuance on Monday, Mercy Health sold $304.11 million of taxable bonds.

Supply is expected to remain light this week with syndicate sources predicting up to about $5 billion of issuance.

Just over $4 billion of investment-grade bonds priced last week.

Little, if any, issuance is expected over the final two weeks of December.

The first week of the month typically is the strongest deal volume week in December, according to a BofA Merrill Lynch research note released on Monday.

“This means there is not much room to add to this week's low volume for the remainder of the month,” the note said. “This suggests December supply of less than $10 [billion], which would be the lowest supply volume for any month on record going back to 1998.”

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