Rentenbank, Macquarie Bank, Autodesk price; Apple tightens; AT&T mixed; Citigroup eases

By Aleesia Forni and Cristal Cody

Virginia Beach, June 2 – Landwirtschaftliche Rentenbank, Macquarie Bank Ltd. and Autodesk Inc. issued bonds during a slower session for the investment-grade bond market.

In the day’s largest deal, Rentenbank sold $1.5 billion of 10-year notes in line with price talk.

Macquarie Bank priced a new $750 million subordinated tier 2 note at the tight end of initial guidance, attracting more than $3 billion of orders for the new deal.

Autodesk sold an upsized $750 million two-tranche issue of notes at the tight end of talk.

The three deals came to market following a weaker session on Monday, in which issuers priced $7.7 billion of paper.

In total, more than $10 billion of investment-grade issuance has sold so far this week.

Investment-grade bonds were mixed over Tuesday’s session.

Apple Inc.’s 2.5% notes due 2025 tightened 5 basis points in the secondary market.

AT&T Inc.’s bonds (/BBB+/A-) were mostly unchanged to moderately tighter going out.

In other trading, Citigroup Inc.’s 3.3% senior notes due 2025 widened 3 bps.

Goldman Sachs Group Inc.’s 3.75% senior notes due 2025 were flat.

The Markit CDX North American Investment Grade series 23 index was unchanged at a spread of 64 bps. The CDX index has a 12-month low of 59.4 and a 12-month high of 76.4, according to a Barclays Bank plc report on Tuesday.

Rentenbank new issue

Landwirtschaftliche Rentenbank sold $1.5 billion of senior notes due June 10, 2025 on Tuesday at mid-swaps plus 10 bps, according to an informed source.

The notes (Aaa/AAA/AAA) priced at 99.497.

BofA Merrill Lynch, Credit Suisse, HSBC Securities and RBC Capital Markets LLC managed the sale.

The German development agency for agribusiness is based in Frankfurt.

Autodesk upsizes

Autodesk was in the market on Tuesday with an upsized $750 million two-tranche offering of senior notes (Baa2/BBB/), according to a market source and an FWP filed with the Securities and Exchange Commission.

A $450 million 3.125% note due 2020 priced at 99.856 to yield 3.156%, or Treasuries plus 155 bps.

The notes sold at the tight end of guidance set in the Treasuries plus 160 bps area.

There was also $300 million of 4.375% notes due 2025 priced at 99.637 to yield 4.42%, or Treasuries plus 215 bps.

Pricing was at the tight end of the Treasuries plus 220 bps area guidance.

BofA Merrill Lynch, J.P. Morgan Securities LLC and Wells Fargo Securities LLC are the bookrunners.

Proceeds will be used for general corporate purposes, including working capital, capital expenditures, acquisitions and strategic transactions and stock repurchases.

The design software and services company is based in San Rafael, Calif.

Macquarie Bank tier 2 notes

Macquarie Bank priced $750 million of 4.875% 10-year subordinated tier 2 notes (Baa3/BBB-/A-) on Tuesday at Treasuries plus 265 bps, according to a market source.

The notes sold on top of guidance, which firmed from initial talk set in the high-200 bps area over Treasuries.

Pricing was at 99.734 to yield 4.909%.

Citigroup Global Markets Inc., HSBC Securities, JPMorgan and Macquarie are the bookrunners for the Rule 144A and Regulation S deal.

The banking unit of Macquarie Group Ltd. is based in Sydney, Australia.

Apple tightens

Apple’s 2.5% notes due 2025 tightened 5 bps to 90 bps bid in secondary trading, a market source said.

Apple sold $1.5 billion of the notes (Aa1/AA+/) on Feb. 2 at Treasuries plus 85 bps.

The computer and mobile communications device company is based in Cupertino, Calif.

AT&T mixed

AT&T’s 3.4% notes due 2025 were unchanged going out at 164 bps offered, a market source said.

The company sold $5 billion of the notes on April 23 at a spread of Treasuries plus 150 bps.

AT&T’s 4.75% bonds due 2046 firmed 2 bps to 217 bps bid.

AT&T sold $3.5 billion of the bonds in the April 23 deal at Treasuries plus 215 bps.

The telecommunications company is based in Dallas.

Citigroup weaker

Citigroup’s 3.3% senior notes due 2025 eased 3 bps to 141 bps bid on Tuesday, according to a market source.

Citigroup sold $1.5 billion of the notes (Baa2/A-/A) on April 22 at Treasuries plus 135 bps.

The investment bank is based in New York.

Goldman stable

Goldman Sachs’ 3.75% senior notes due 2025 were unchanged going out at 149 bps bid, a market source said.

The notes were quoted earlier in the day unchanged at 153 bps offered.

Goldman Sachs sold $2.25 billion of the notes (Baa1/A-/A) on May 19 at Treasuries plus 150 bps.

The financial services company is based in New York City.

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