Oracle brings $10 billion offering; Amgen, DaVinciRe also price; bank paper mostly flat

By Aleesia Forni

Virginia Beach, April 28 – The primary bond market hosted another investment-grade megadeal on Tuesday, with Oracle Corp. pricing $10 billion of bonds as the Federal Reserve kicked off its two-day policy meeting.

The six-part deal attracted more than $21 billion of orders.

Amgen Inc. was also in Tuesday’s primary, pricing $3.5 billion of senior notes in four tranches at the tight end of talk.

The session also hosted an issue of pass-through certificates from Union Pacific Railroad Co. and a $150 million senior notes offer from DaVinciRe Holdings Ltd.

Spreads held up on Tuesday and ended the session mostly flat on the heels of weaker data out of both Japan and the United Kingdom.

The Markit CDX North American Investment Grade series 23 index was unchanged at a spread of 60 basis points.

Financial paper from Bank of America Corp., JPMorgan Chase & Co. and Morgan Stanley ended flat on the day.

Meanwhile, Apple Inc.’s bonds were mixed following the company’s report of a 27% year-over-year growth in revenue earlier this week.

Banks and brokers CDS costs were flat to higher on Tuesday, according to a market source.

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