Thermo Fisher, Priceline, Intercontinental Exchange, O’Reilly sell notes; credit spreads ease

By Cristal Cody

Tupelo, Miss., Aug. 10 – Deal action on Thursday included new bond pricings from Thermo Fisher Scientific Inc., Priceline Group Inc. and O’Reilly Automotive, Inc.

Thermo Fisher Scientific sold $1.5 billion of senior notes in two tranches.

Priceline Group priced a $1 billion two-part notes deal.

Also, Intercontinental Exchange Inc. sold $1 billion of guaranteed senior notes in two tranches.

O’Reilly Automotive priced $750 million of 10-year senior notes.

While the U.S. investment-grade primary market has seen heavy supply over the week, deal action has been quiet in Canada with a holiday and late summer vacations, a source said.

“The market is kind of crumbling in the U.S. right now,” the source said. “If anyone was thinking of coming this week, they’ve probably decided to stand down with U.S. spreads falling.”

Issuance could pick up in the week ahead if spreads stabilize and the market improves, the source said.

Credit spreads widened over the session. The Markit CDX North American Investment Grade index eased about 2 basis points to a spread of 62 bps.

In the secondary market, Thermo Fisher Scientific’s existing 3% senior notes due 2023 were seen 2 bps tighter at 89 bps bid, a source said. The company sold $1 billion of the notes on April 4, 2016 at 155 bps over Treasuries.

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