PNC Bank, CBL & Associates price bonds; credit spreads tighten; Ford Motor slightly better

By Cristal Cody

Eureka Springs, Ark., Dec. 6 – High-grade primary action included two new bond deals on Tuesday following Monday’s heavy deal pipeline.

PNC Bank NA came with a $1.75 billion three-part offering of notes.

The bank priced $400 million of two-year floating-rate notes at Libor plus 40 basis points, $600 million of 1.7% two-year fixed-rate notes at a spread of 63 bps plus Treasuries and $750 million of 2.55% five-year fixed-rate notes with a 75 bps spread over Treasuries.

Barclays, Goldman Sachs & Co., Morgan Stanley & Co. LLC and PNC Capital Markets LLC were the lead managers.

CBL & Associates LP priced $400 million of 5.95% 10-year senior notes on Tuesday with a spread of 375 bps over Treasuries, according to an FWP filing with the Securities and Exchange Commission.

The notes due Dec. 15, 2026 (Baa3/BBB-/BBB-) priced at 98.565 to yield 6.144%.

Wells Fargo Securities LLC, J.P. Morgan Securities LLC, Jefferies & Co., U.S. Bancorp Investments Inc., BofA Merrill Lynch and Stifel, Nicolaus & Co., Inc. were the bookrunners.

The notes have a limited guarantee by CBL & Associates Properties, Inc.

The Markit CDX North American Investment Grade index tightened 2 basis points over the day to end at a spread of 70 bps.

Ford Motor Co.’s $2.8 billion of senior notes (Baa2//BBB) priced in two parts on Monday were quoted earlier in the secondary market about 1 bp to 2 bps tighter.

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