New Issue: Pitney Bowes sells $600 million 3.375% five-year notes at 225 bps spread

By Cristal Cody

Eureka Springs, Ark., Sept. 15 – Pitney Bowes Inc. priced $600 million of 3.375% five-year notes on Thursday at 99.724 to yield 3.435%, according to an FWP filing with the Securities and Exchange Commission.

The notes (Baa3/BBB/) priced with a spread of 225 basis points over Treasuries.

BofA Merrill Lynch, Mizuho Securities USA Inc. and Morgan Stanley & Co. LLC were the bookrunners.

Proceeds will be used to redeem all 300,000 shares of subsidiary Pitney Bowes International Holdings’ perpetual voting preferred stock for $300 million and for general corporate purposes.

Pitney Bowes is a Stamford, Conn.-based provider of services, including eCommerce shipping and mailing.

Issuer:	Pitney Bowes Inc.
Amount:	$600 million
Description:	Notes
Maturity:	Oct. 1, 2021
Bookrunners:	BofA Merrill Lynch, Mizuho Securities USA Inc., Morgan Stanley & Co. LLC
Co-managers:	Citigroup Global Markets Inc., BNY Mellon Capital Markets LLC, RBC Capital Markets, LLC, Santander Investment Securities Inc., Williams Capital Group, LP, U.S. Bancorp Investments, Inc.
Coupon:	3.375%
Price:	99.724
Yield:	3.435%
Spread:	Treasuries plus 225 bps
Call features:	Par plus make-whole amount of Treasuries plus 35 bps; on or after Sept. 1, 2021 at par
Put option:	101%
Trade date:	Sept. 15
Settlement date:	Sept. 22
Ratings:	Moody’s: Baa3
	S&P: BBB
Distribution:	SEC registered

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