By Rebecca Melvin
New York, March 17 – Verizon Communications Inc. sold C$1.5 billion of senior notes in two tranches on Tuesday, according to a FWP filed with the Securities and Exchange Commission.
The C$1 billion 2.375% seven-year notes priced at 99.846 to yield a spread over Canadian Treasuries of 115 basis points.
The C$500 million 4.05% 30-year notes priced at 99.759 to yield a spread over Canadian Treasuries of 205.1 bps.
The 2028 notes are callable at par plus a make-whole of 28.5 bps and accrued and unpaid interest at any time prior to Jan. 22, 2028 or two months prior to maturity. The 2051 notes are callable at par plus a 51 bps make-whole any time prior to Sept. 22, 2050 or six months prior ahead of maturity. Afterwards the notes are callable at par.
The private placement in Canada offering comes after the issuer sold $25 billion of notes in the U.S. market last week and then moved over to Europe and priced €2.75 billion in three parts on Monday.
Bookrunners for the notes are Merrill Lynch Canada, Inc., RBC Dominion Securities Inc. and TD Securities Inc.
Proceeds will be used for general corporate purposes, including previously announced acquisitions, the acquisition of spectrum licenses and possibly the repayment of outstanding debt.
Verizon is a New York-based telecommunications company.
| Issuer: | Verizon Communications Inc.
|
| Issue: | Senior notes
|
| Amount: | C$1.5 billion
|
| Bookrunners: | Merrill Lynch Canada, Inc., RBC Dominion Securities Inc. and TD Securities Inc.
|
| Co-managers: | Deutsche Bank Securities Inc. and Scotia Capital Inc.
|
| Trade date: | March 16
|
| Settlement date: | March 22
|
|
|
| Seven-year notes
|
| Amount: | C$1 billion
|
| Maturity: | March 22, 2028
|
| Coupon: | 2.375%
|
| Price: | 99.846
|
| Spread: | Canadian Treasuries plus 115 bps
|
| Call: | Make-whole at Canadian Treasuries plus 28.5 bps
|
|
|
| 30-year notes
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| Amount: | C$500 million
|
| Maturity: | March 22, 2051
|
| Coupon: | 4.05%
|
| Price: | 99.759
|
| Spread: | Canadian Treasuries plus 205.1 bps
|
| Call: | Make-whole at Canadian Treasuries plus 51 bps
|
|
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