By Andrea Heisinger
New York, Nov. 15 - Procter & Gamble Co. sold $1.5 billion of senior notes (Aa3/AA-/) in two tranches on Monday, an informed source said.
The floating-rate tranche of notes was added to the sale before the launch, the source said.
A $500 million tranche of two-year floating-rate notes priced at par to yield three-month Libor plus 4 basis points. This was at the tight end of guidance in the Libor plus 5 bps area.
The floating-rate notes are non-callable.
The other tranche was $1 billion of 1.8% five-year notes priced at 99.182 to yield 1.973% with a spread of Treasuries plus 47 bps. The notes priced in line with guidance in the 47 bps area.
The tranche has a make-whole call at Treasuries plus 10 bps.
Goldman Sachs & Co., J.P. Morgan Securities LLC and Morgan Stanley & Co. Inc. were the bookrunners.
Senior co-managers were Citigroup Global Markets Inc., Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., Bank of America Merrill Lynch and RBS Securities Inc.
Barclays Capital Inc., Credit Suisse Securities (USA) LLC, Williams Capital Group LP, UBS Securities and U.S. Bancorp Investments were the co-managers.
Proceeds will be used for general corporate purposes.
The consumer products company is based in Cincinnati.
| Issuer: | Procter & Gamble Co.
|
| Issue: | Senior notes
|
| Amount: | $1.5 billion
|
| Bookrunners: | Goldman Sachs & Co., J.P. Morgan Securities LLC, Morgan Stanley & Co. Inc.
|
| Senior co-managers: | Citigroup Global Markets Inc., Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., Bank of America Merrill Lynch, RBS Securities Inc.
|
| Co-managers: | Barclays Capital Inc., Credit Suisse Securities (USA) LLC, Williams Capital Group LP, UBS Securities, U.S. Bancorp Investments
|
| Trade date: | Nov. 15
|
| Settlement date: | Nov. 18
|
| Ratings: | Moody's: Aa3
|
| Standard & Poor's: AA-
|
|
|
| Two-year floaters
|
| Amount: | $500 million
|
| Maturity: | Nov. 14, 2012
|
| Coupon: | Three-month Libor plus 4 bps
|
| Price: | Par
|
| Yield: | Three-month Libor plus 4 bps
|
| Call: | Non-callable
|
| Price talk: | Three-month Libor plus 5 bps area
|
|
|
| Five-year notes
|
| Amount: | $1 billion
|
| Maturity: | Nov. 15, 2015
|
| Coupon: | 1.8%
|
| Price: | 99.182
|
| Yield: | 1.973%
|
| Spread: | Treasuries plus 47 bps
|
| Call: | Make-whole at Treasuries plus 10 bps
|
| Price talk: | 47 bps area
|
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