By Devika Patel
Knoxville, Tenn., Oct. 30 – Philip Morris International Inc. offered further details, including the price and yield, about a $1.5 billion two-tranche offering of notes (A2/A/A) that priced on Thursday, according to an FWP filed with the Securities and Exchange Commission.
A $750 million offering of 0.875% notes due May 1, 2026 priced at a spread of 58 basis points over Treasuries. These notes priced at 99.631 to yield 0.944%.
Initial talk was in the 80 bps area.
The company priced $750 million of 1.75% 10-year notes at a spread of 103 bps over Treasuries. These notes priced at 98.992 to yield 1.861%.
The notes were talked to price at the 125 bps over Treasuries area.
Barclays, Santander Investment Securities Inc. and SG Americas Securities LLC were the active bookrunners. Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. LLC and HSBC Securities (USA) Inc. were passive.
Proceeds will be used for general corporate purposes, to repay commercial paper, to meet working capital requirements and to repurchase common stock.
The producer of cigarette and tobacco products is based in New York.
| Issuer: | Philip Morris International Inc.
|
| Amount: | $1.5 billion
|
| Description: | Notes
|
| Bookrunners: | Barclays, Santander Investment Securities Inc. and SG Americas Securities LLC (active), Credit Suisse Securities (USA) LLC, Goldman Sachs & Co. LLC and HSBC Securities (USA) Inc. (passive)
|
| Senior co-manager: | BofA Securities Inc.
|
| Co-managers: | Commerz Markets LLC, Intesa Sanpaolo SpA and UBS Securities LLC
|
| Trade date: | Oct. 29
|
| Settlement date: | Nov. 2
|
| Ratings: | Moody’s: A2
|
| S&P: A
|
| Fitch: A
|
| Distribution: | SEC registered
|
|
|
| Notes due 2026
|
| Amount: | $750 million
|
| Maturity: | May 1, 2026
|
| Coupon: | 0.875%
|
| Price: | 99.631
|
| Yield: | 0.944%
|
| Spread: | Treasuries plus 58 bps
|
| Call: | Make-whole call at Treasuries plus 10 bps until April 1, 2026, then a par call
|
| Price guidance: | Treasuries plus 80 bps area
|
|
|
| Notes due 2030
|
| Amount: | $750 million
|
| Maturity: | Nov. 1, 2030
|
| Coupon: | 1.75%
|
| Price: | 98.992
|
| Yield: | 1.861%
|
| Spread: | Treasuries plus 103 bps
|
| Call: | Make-whole call at Treasuries plus 20 bps until Aug. 1, 2030, then a par call
|
| Price guidance: | Treasuries plus 125 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.
