By Devika Patel
Knoxville, Tenn., Aug. 15 – Philip Morris International Inc. priced a combined $1.25 billion of notes in two tranches on Monday after the market close, according to an FWP filing with the Securities and Exchange Commission.
The company priced $750 million of 2.375% five-year notes at Treasuries plus 70 basis points. The notes priced at 99.537 to yield 2.474%.
Philip Morris sold $500 million of 3.125% 10-year notes at a spread of 95 bps over Treasuries. These notes priced at 99.583 to yield 3.174%.
Goldman Sachs & Co., HSBC Securities (USA) Inc., J.P. Morgan Securities LLC, Mizuho Securities USA Inc. and Societe Generale CIB were the bookrunners.
Proceeds will be used for general corporate purposes, to refinance debt, to meet working capital requirements or to repurchase common stock.
The producer of cigarette and tobacco products is based in New York.
| Issuer: | Philip Morris International Inc.
|
| Amount: | $1.25 billion
|
| Description: | Notes
|
| Bookrunners: | Goldman Sachs & Co., HSBC Securities (USA) Inc., J.P. Morgan Securities LLC, Mizuho Securities USA Inc. and Societe Generale CIB
|
| Co-managers: | BBVA Securities Inc. and UBS Securities LLC
|
| Trade date: | Aug. 14
|
| Settlement date: | Aug. 17
|
| Distribution: | SEC registered
|
|
|
| Five-year notes
|
| Amount: | $750 million
|
| Maturity: | Aug. 17, 2022
|
| Coupon: | 2.375%
|
| Price: | 99.537
|
| Yield: | 2.474%
|
| Spread: | Treasuries plus 70 bps
|
| Call feature: | Make-whole call at Treasuries plus 12.5 bps until July 17, 2022 and then a par call
|
|
|
| 10-year notes
|
| Amount: | $500 million
|
| Maturity: | Aug. 17, 2027
|
| Coupon: | 3.125%
|
| Price: | 99.583
|
| Yield: | 3.174%
|
| Spread: | Treasuries plus 95 bps
|
| Call feature: | Make-whole call at Treasuries plus 15 bps until May 17, 2027 and then a par call
|
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