Primary stays quiet; Yum! on tap; new Teck notes busy, lower; Intelsat up on tender news

By Paul Deckelman and Paul A. Harris

New York, June 1 – The high-yield market opened the month of June on Wednesday the same way it had finished off May the session before, with no new dollar-denominated and fully junk-rated bonds heard to have priced, the third consecutive shutout.

Primaryside players were meanwhile gearing up for a big deal that is expected to price during Thursday’s session, the $2.3 billion of new eight- and 10-year notes from Yum! Brands, Inc.

They’ll also be on the lookout for CVR Partners, LP’s $625 million seven-year secured notes, although there is a possibility the nitrogen fertilizer producer’s deal might price on Friday rather than Thursday.

Among recently priced issues, Canadian mining concern Teck Resources Ltd.’s big two-part offering of five- and eight-year notes remained among the day’s busiest credits, just as they have been each session since their pricing last Thursday. For the first time, though, traders were seeing both tranches of those bonds having retreated.

Other recently priced transactions seen actively trading on Wednesday included health-care companies MultiPlan Inc. and Universal Health Services Inc., aircraft components manufacturer TransDigm, Inc. and, going back a little further, computer hard-drive maker Western Digital Corp.

Away from the new-deal realm, Intelsat SA’s bonds firmed as the communications satellite company released preliminary results of its pending tender offer for several series of its notes.

Statistical market performance measures turned lower across the board on Wednesday.

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