By Devika Patel
Knoxville, Tenn., Sept. 5 – Pfizer Inc. offered further details about a $5 billion sale of senior notes (A1/AA/A+) that priced in six tranches on Tuesday, according to an FWP filed with the Securities and Exchange Commission.
Pfizer priced $1 billion of 3% three-year notes at a spread of Treasuries plus 32 basis points. These notes priced at 99.865 to yield 3.047%.
The company sold $300 million of five-year floating-rate notes at Libor plus 33 bps. These notes priced at par.
A $1 billion tranche of 3.2% five-year fixed-rate notes priced at a 47 bps over Treasuries spread. These notes priced at 99.797 to yield 3.244%.
Pfizer priced $1 billion of 3.6% 10-year notes at a spread of 72 bps over Treasuries. These notes priced at 99.841 to yield 3.619%.
The company sold $700 million of 4.1% 20-year notes at a 105 bps spread over Treasuries. These notes priced at 99.809 to yield 4.114%.
In the final tranche, Pfizer priced $1 billion of 4.2% 30-year notes at a spread of 115 bps over Treasuries. These notes priced at 99.762 to yield 4.214%.
BofA Merrill Lynch, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC and Morgan Stanley & Co. LLC were the active bookrunners. Barclays, Goldman Sachs & Co. and HSBC Securities (USA) Inc. were the passive bookrunners.
Proceeds will be used for general corporate purposes, including to refinance, redeem or repurchase existing debt and to repay a portion of commercial paper.
The biopharmaceutical company is based in New York.
| Issuer: | Pfizer Inc.
|
| Amount: | $5 billion
|
| Description: | Senior notes
|
| Active bookrunners: | BofA Merrill Lynch, Citigroup Global Markets Inc., Credit Suisse Securities (USA) LLC and Morgan Stanley & Co. LLC
|
| Passive bookrunners: | Barclays, Goldman Sachs & Co. and HSBC Securities (USA) Inc.
|
| Senior co-managers: | Deutsche Bank Securities Inc. and Santander Investment Securities Inc.
|
| Co-managers: | Mizuho Securities USA Inc., RBC Capital Markets Corp., Academy Securities, Inc., Robert W. Baird & Co. Inc., Siebert Capital Markets and Williams Capital Group LP
|
| Trade date: | Sept. 4
|
| Settlement date: | Sept. 7
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| Ratings: | Moody’s: A1
|
| S&P: AA
|
| Fitch: A+
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| Distribution: | SEC registered
|
|
|
| Three-year notes
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| Amount: | $1 billion
|
| Maturity: | Sept. 15, 2021
|
| Coupon: | 3%
|
| Price: | 99.865
|
| Yield: | 3.047%
|
| Spread: | Treasuries plus 32 bps
|
| Call: | Make-whole call at Treasuries plus 5 bps
|
|
|
| Five-year floaters
|
| Amount: | $300 million
|
| Maturity: | Sept. 15, 2023
|
| Coupon: | Libor plus 33 bps
|
| Price: | Par
|
| Call: | Non-callable
|
|
|
| Five-year notes
|
| Amount: | $1 billion
|
| Maturity: | Sept. 15, 2023
|
| Coupon: | 3.2%
|
| Price: | 99.797
|
| Yield: | 3.244%
|
| Spread: | Treasuries plus 47 bps
|
| Call: | Make-whole call at Treasuries plus 10 bps until Aug. 15, 2023, then a par call
|
|
|
| 10-year notes
|
| Amount: | $1 billion
|
| Maturity: | Sept. 15, 2028
|
| Coupon: | 3.6%
|
| Price: | 99.841
|
| Yield: | 3.619%
|
| Spread: | Treasuries plus 72 bps
|
| Call: | Make-whole call at Treasuries plus 15 bps until June 15, 2028, then a par call
|
|
|
| 20-year notes
|
| Amount: | $700 million
|
| Maturity: | Sept. 15, 2038
|
| Coupon: | 4.1%
|
| Price: | 99.809
|
| Yield: | 4.114%
|
| Spread: | Treasuries plus 105 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps until March 15, 2038, then a par call
|
|
|
| 30-year notes
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| Amount: | $1 billion
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| Maturity: | Sept. 15, 2048
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| Coupon: | 4.2%
|
| Price: | 99.762
|
| Yield: | 4.214%
|
| Spread: | Treasuries plus 115 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps until March 15, 2048, then a par call
|
|
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