By Marisa Wong and Cristal Cody
Los Angeles, Aug. 9 – Prudential Financial, Inc. priced $300 million of 5.95% $25-par junior subordinated notes due Sept. 1, 2062 (Baa1/BBB+/BBB) at par on Tuesday, according to an FWP filing with the Securities and Exchange Commission.
Price talk was in the 6.125% to 6.25% area, according to a market source.
The notes are callable at par in whole or in part on or after Sept. 1, 2027. Before that, they are callable if a tax event, rating agency event or regulatory capital event occurs.
Wells Fargo Securities, LLC, BofA Securities, Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and UBS Securities LLC are the joint bookrunners.
There will be no over-allotment option, counter to what was stated in a previously filed 424B2 filing with the SEC.
Proceeds will be used for general corporate purposes, which may include, together with the net proceeds of the company’s recent sale of notes due 2052, the redemption or repurchase of $1.5 billion of its 2043 notes.
Prudential is a Newark, N.J.-based holding company. Its subsidiaries and affiliates offer financial products and services, including life insurance, annuities, retirement-related products and services, mutual funds and investment management.
| Issuer: | Prudential Financial, Inc.
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| Amount: | $300 million
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| Issue: | Junior subordinated notes
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| Maturity: | Sept. 1, 2062
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| Bookrunners: | Wells Fargo Securities, LLC, BofA Securities, Inc., Goldman Sachs & Co. LLC, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC and UBS Securities LLC
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| Senior co-managers: | Scotia Capital (USA) Inc., SG Americas Securities, LLC, TD Securities (USA) LLC and U.S. Bancorp Investments, Inc.
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| Trustee: | Bank of New York Mellon
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| Counsel to issuer: | In-house counsel
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| Counsel to underwriters: | Cleary Gottlieb Steen & Hamilton LLP
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| Coupon: | 5.95%
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| Price: | Par of $25
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| Yield: | 5.95%
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| Call features: | In whole or in part on or after Sept. 1, 2027 at par; in whole prior to Sept. 1, 2027 within 90 days of a tax event, rating agency event or regulatory capital event, redemption price is par if a tax event or regulatory capital event occurs and 102 if a rating agency event occurs
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| Pricing date: | Aug. 9
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| Settlement date: | Aug. 17
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| Listing: | NYSE
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| Expected ratings: | Moody’s: Baa1
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| S&P: BBB+
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| Fitch: BBB
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| Distribution: | SEC registered
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| Price talk: | 6.125% to 6.25% area
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| Cusip: | 744320870
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