Wal-Mart selling about $4 billion of notes in four parts Thursday

By Andrea Heisinger

New York, April 4 - Wal-Mart Stores Inc. is expected to price about $4 billion of notes (Aa2/AA/AA) in four maturities on Thursday, an informed source said.

The offering includes maturities of 2016, 2018, 2023 and 2043. The source said the tranches are projected to be $1 billion each.

Initial guidance was in the Treasuries plus mid 30 basis points area for the three-year notes, Treasuries plus mid 50 bps area for the five-year notes and the mid-to-high 80 bps area over Treasuries for the 10-year tranche. The 30-year bonds are being whispered in the Treasuries plus 105 bps to 110 bps range.

Bookrunners are Barclays, Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC.

Wal-Mart was last in the U.S. bond market with a $5 billion offering in four tranches on April 11, 2011. That trade included 1.625% three-year notes sold at 40 bps over Treasuries, a 2.8% five-year bond priced at Treasuries plus 57 bps, a 4.25% 10-year note sold at 75 bps over Treasuries and a 5.625% 30-year bond priced at 110 bps over Treasuries.

The discount retailer is based in Bentonville, Ark.

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