By Andrea Heisinger
Omaha, April 2 - Oracle Corp. priced $5 billion of notes (A2/A/A) in three tranches Wednesday, an informed source said.
A $1.25 billion tranche of 4.95% five-year notes priced at 99.964 to yield 4.958%, or Treasuries plus 222 basis points.
A $2.5 billion tranche of 5.75% 10-year notes priced at 99.953 to yield 5.756%, or Treasuries plus 215 bps.
A $1.25 billion tranche of 6.5% 30-year notes priced at 99.828 to yield 6.513%, or Treasuries plus 212 bps.
All of the tranches have make-whole redemption options of Treasuries plus 35 bps.
Bookrunners were Citigroup Global Markets, Credit Suisse Securities LLC and Morgan Stanley & Co. Inc.
Proceeds will be used to fund the purchase of BEA, for acquisition-related expenses and for general corporate purposes.
The enterprise software company is based in Redwood City, Calif.
| Issuer: | Oracle Corp.
|
| Issue: | Notes
|
| Amount: | $5 billion
|
| Bookrunners: | Citigroup Global Markets Inc., Credit Suisse Securities LLC, Morgan Stanley & Co. Inc.
|
| Trade date: | April 2
|
| Settlement date: | April 9
|
| Ratings: | Moody's: A2
|
| Standard & Poor's: A
|
| Fitch: A
|
|
|
| Five-year tranche
|
| Amount: | $1.25 billion
|
| Maturity: | April 15, 2013
|
| Coupon: | 4.95%
|
| Price: | 99.964
|
| Yield: | 4.958%
|
| Spread: | Treasuries plus 222 bps
|
| Call: | Make-whole at Treasuries plus 35 bps
|
|
|
| 10-year tranche
|
| Amount: | $2.5 billion
|
| Maturity: | April 15, 2018
|
| Coupon: | 5.75%
|
| Price: | 99.953
|
| Yield: | 5.756%
|
| Spread: | Treasuries plus 215 bps
|
| Call: | Make-whole at Treasuries plus 35 bps
|
|
|
| 30-year tranche
|
| Amount: | $1.25 billion
|
| Maturity: | April 15, 2038
|
| Coupon: | 6.5%
|
| Price: | 99.828
|
| Yield: | 6.513%
|
| Spread: | Treasuries plus 212 bps
|
| Call: | Make-whole at Treasuries plus 35 bps
|
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