By Cristal Cody
Tupelo, Miss., March 4 – Pfizer Inc. sold $5 billion of senior notes (A1/AA/A+) in five tranches on Monday on the tight side of guidance, according to a market source.
Pfizer priced $500 million of 2.8% three-year notes at a spread of Treasuries plus 28 basis points.
A $750 million tranche of 2.95% five-year notes priced at a spread of 43 bps over Treasuries.
Pfizer placed $1.75 billion of 3.45% 10-year notes at a Treasuries plus 75 bps spread.
The company sold $750 million of 3.9% 20-year notes at a 90 bps spread over Treasuries.
Finally, Pfizer priced $1.25 billion of 4% 30-year notes at a spread of 100 bps over Treasuries.
Barclays, Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC were the 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
|
| Bookrunners: | Barclays, Deutsche Bank Securities Inc., Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC
|
| Trade date: | March 4
|
| Ratings: | Moody’s: A1
|
| S&P: AA
|
| Fitch: A+
|
| Distribution: | SEC registered
|
|
|
| Three-year notes
|
| Amount: | $500 million
|
| Maturity: | March 11, 2022
|
| Coupon: | 2.8%
|
| Spread: | Treasuries plus 28 bps
|
| Price guidance: | Treasuries plus 30 bps area, plus or minus 2 bps; initial talk at Treasuries plus 40 bps area
|
|
|
| Five-year notes
|
| Amount: | $750 million
|
| Maturity: | March 15, 2024
|
| Coupon: | 2.95%
|
| Spread: | Treasuries plus 43 bps
|
| Price guidance: | Treasuries plus 45 bps area, plus or minus 2 bps; initial talk at Treasuries plus 55 bps-60 bps area
|
|
|
| 10-year notes
|
| Amount: | $1.75 billion
|
| Maturity: | March 15, 2029
|
| Coupon: | 3.45%
|
| Spread: | Treasuries plus 75 bps
|
| Price guidance: | Treasuries plus 80 bps area, plus or minus 5 bps; initial talk at Treasuries plus 85 bps-90 bps area
|
|
|
| 20-year notes
|
| Amount: | $750 million
|
| Maturity: | March 15, 2039
|
| Coupon: | 3.9%
|
| Spread: | Treasuries plus 90 bps
|
| Price guidance: | Treasuries plus 95 bps area, plus or minus 5 bps; initial talk at Treasuries plus 100 bps-105 bps area
|
| 30-year notes
|
| Amount: | $1.25 billion
|
| Maturity: | March 15, 2049
|
| Coupon: | 4%
|
| Spread: | Treasuries plus 100 bps
|
| Price guidance: | Treasuries plus 105 bps area, plus or minus 5 bps; initial talk at Treasuries plus 110 bps-115 bps area
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
