New Issue: Avnet prices $300 million 3.75% five-year notes with 200 bps spread

By Cristal Cody

Eureka Springs, Ark., Nov. 29 – Avnet, Inc. priced $300 million of 3.75% five-year notes on Tuesday with a spread of 200 basis points over Treasuries, according to an FWP filing with the Securities and Exchange Commission.

The notes (Baa3/BBB-) priced at 99.779 to yield 3.799%.

BofA Merrill Lynch, J.P. Morgan Securities LLC and MUFG were the bookrunners.

Proceeds will be used to repay or redeem subsidiary Premier Farnell’s 5.24% guaranteed senior notes due July 2, 2017, 4.36% guaranteed senior notes due Nov. 15, 2018, 4.83% guaranteed senior notes due Nov. 15, 2021 and 4.01% guaranteed senior notes due Sept. 17, 2024. Avnet expects to use any remaining proceeds to repay debt under credit facilities.

Avnet is a Phoenix-based distributor of electronic components, enterprise computer and storage products and IT solutions and services.

Issuer:	Avnet, Inc.
Amount:	$300 million
Description:	Notes
Maturity:	Dec. 1, 2021
Bookrunners:	BofA Merrill Lynch, J.P. Morgan Securities LLC, MUFG
Co-managers:	Scotia Capital (USA) Inc., BNP Paribas Securities Corp., Mizuho Securities USA Inc., U.S. Bancorp Investments, Inc., HSBC Securities (USA) Inc., PNC Capital Markets LLC, SMBC Nikko Securities America, Inc., Wells Fargo Securities, LLC
Coupon:	3.75%
Price:	99.779
Yield:	3.799%
Spread:	Treasuries plus 200 bps
Call feature:	Make-whole call before Nov. 1, 2021 at greater of par and Treasuries plus 30 bps; thereafter at par
Change-of-control put:	101%
Trade date:	Nov. 29
Settlement date:	Dec. 2
Ratings:	Moody’s: Baa3
	S&P: BBB-
Distribution:	SEC registered

© 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.