Harris prices notes; heavy supply forecast; Chevron sets calls; Highwoods, Motorola firm

By Cristal Cody

Tupelo, Miss., Feb. 23 – Harris Corp. tapped the high-grade market on Friday with $300 million of 12-month floating-rate notes.

Otherwise, activity was mostly light following two strong consecutive sessions of supply.

Deal volume is expected to be heavy in the week ahead.

About $25 billion to $30 billion of supply is forecast by syndicate sources.

Several issuers are in the deal pipeline, according to market sources.

Chevron Phillips Chemical Co. LLC plans to hold fixed-income investor calls in the upcoming week.

New corporate bonds priced during the week were mixed in the secondary market but mostly better, a source said.

Highwoods Realty LP’s $350 million of 4.125% notes due March 15, 2028 (Baa2/BBB/) that priced on Thursday at a spread of Treasuries plus 135 basis points tightened to 130 bps bid, 128 bps offered.

Motorola Solutions, Inc.’s new 4.6% senior notes due Feb. 23, 2028 (/BBB-/BBB-) firmed to 167 bps bid, 164 bps offered in secondary trading, the source said.

Motorola sold $500 million of the notes on Wednesday at a spread of 170 bps over Treasuries.

Elsewhere, credit spreads improved on Friday. The Markit CDX North American Investment Grade 29 index closed more than 1 bp tighter at a spread of 56 bps.

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