By Aleesia Forni
Virginia Beach, June 4 - Verizon Communications Inc. sold $3.3 billion of senior notes (Baa1/BBB+/A-) in fixed- and floating-rate tranches on Wednesday, according to a market source and an FWP filed with the Securities and Exchange Commission.
A $1.3 billion tranche of floating-rate notes due 2017 priced at par to yield Libor plus 40 basis points.
The company also sold $2 billion of 1.35% three-year notes at 99.95 to yield 1.356%, or Treasuries plus 53 bps.
Both tranches sold at the tight end of talk.
Barclays, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC were the joint bookrunners.
Proceeds will be used to repay borrowings under the company's three-year tranche of its term loan credit agreement and for general corporate purposes.
Verizon is a New York City-based telecommunications company.
| Issuer: | Verizon Communications Inc.
|
| Issue: | Senior notes
|
| Amount: | $3.3 billion
|
| Joint bookrunners: | Barclays, J.P. Morgan Securities LLC, Morgan Stanley & Co. LLC
|
| Trade date: | June 4
|
| Settlement date: | June 11
|
| Ratings: | Moody's: Baa1
|
| Standard & Poor's: BBB+
|
| Fitch: A-
|
| Distribution: | SEC-registered
|
|
|
| Three-year floaters
|
| Amount: | $1.3 billion
|
| Maturity: | June 9, 2017
|
| Coupon: | Libor plus 40 bps
|
| Price: | Par
|
| Yield: | Libor plus 40 bps
|
| Price talk: | Libor plus 42 bps
|
|
|
| Three-year notes
|
| Amount: | $2 billion
|
| Maturity: | June 9, 2017
|
| Coupon: | 1.35%
|
| Price: | 99.95
|
| Yield: | 1.356%
|
| Spread: | Treasuries plus 53 bps
|
| Price talk: | Treasuries plus 55 bps, tightened from Treasuries plus low-60 bps area
|
| Make-whole call: | Treasuries plus 10 bps
|
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