Published on 3/3/2015 in the Prospect News High Yield Daily.
New Issue: SiriusXM sells upsized $1 billion 10-year notes at par to yield 5 3/8%
By Paul A. Harris
Portland, Ore., March 3 – Sirius XM Radio Inc., a subsidiary of SiriusXM, priced an upsized $1 billion issue of 10-year senior notes (expected B1/confirmed BB) at par to yield 5 3/8% on Tuesday, according to a market source.
The deal was upsized from $750 million.
The yield printed on top of yield talk.
The early yield guidance is 5¼% to 5½%, according to a trader.
J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc., Morgan Stanley & Co. LLC, SunTrust Robinson Humphrey Inc. and Wells Fargo Securities LLC were the joint bookrunners for the quick-to-market deal.
The New York-based radio broadcaster plans to use the proceeds, including those resulting from the $250 million upsizing of the deal, for general corporate purposes, which may include debt repayment, including paying down the revolver, and dividends or loans to SiriusXM, as well as to fund repurchases of SiriusXM common stock.
| Issuer: | Sirius XM Radio Inc.
|
| Amount: | $1 billion, increased from $750 million
|
| Maturity: | April 15, 2025
|
| Securities: | Senior notes
|
| Bookrunners: | J.P. Morgan Securities LLC, Barclays, Citigroup Global Markets Inc., Morgan Stanley & Co. LLC, SunTrust Robinson Humphrey Inc., Wells Fargo Securities LLC
|
| Co-managers: | BofA Merrill Lynch, BMO Securities, BNP Paribas Securities Corp., Credit Agricole CIB, RBC Capital Markets, U.S. Bancorp Investments Inc.
|
| Coupon: | 5 3/8%
|
| Price: | Par
|
| Yield: | 5 3/8%
|
| Call protection: | Five years
|
| Trade date: | March 3
|
| Settlement date: | March 6
|
| Ratings: | Moody's: Expected B1
|
| Standard & Poor's: BB
|
| Distribution: | Rule 144A and Regulation S for life
|
| Price talk: | 5 3/8% area
|
| Marketing: | Quick to market
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
