By Andrea Heisinger
New York, July 10 - Westlake Chemical Corp. sold $250 million of 3.6% 10-year senior notes on Tuesday to yield Treasuries plus 215 basis points, a source away from the deal said.
The notes (Baa3/BBB-/BBB-) were priced at 99.527 to yield 3.657%. There is a make-whole call at Treasuries plus 35 bps until April 15, 2022 and a par call after that date.
The deal features a change-of-control put at 101%.
Bank of America Merrill Lynch, Deutsche Bank Securities Inc. and Morgan Stanley & Co. LLC were the bookrunners.
Co-managers were BB&T Capital Markets, a division of Scott & Stringfellow, LLC, BNP Paribas Securities Corp., Comerica Securities, Inc., PNC Capital Markets LLC and Wells Fargo Securities, LLC.
Proceeds will be used to redeem $250 million of 6.625% senior notes due 2016.
The notes are guaranteed by existing or future domestic subsidiaries of the Houston-based maker and marketer of chemicals and other building products.
| Issuer: | Westlake Chemical Corp.
|
| Guarantors: | Existing or future domestic subsidiaries
|
| Issue: | Senior notes
|
| Amount: | $250 million
|
| Maturity: | July 15, 2022
|
| Bookrunners: | Bank of America Merrill Lynch, Deutsche Bank Securities Inc., Morgan Stanley & Co. LLC
|
| Co-managers: | BB&T Capital Markets, a division of Scott & Stringfellow, LLC, BNP Paribas Securities Corp., Comerica Securities, Inc., PNC Capital Markets LLC, Wells Fargo Securities, LLC
|
| Coupon: | 3.6%
|
| Price: | 99.527
|
| Yield: | 3.657%
|
| Spread: | Treasuries plus 215 bps
|
| Call: | Make-whole at Treasuries plus 35 bps until April 15, 2022, par call after
|
| Change-of-control put: | 101%
|
| Trade date: | July 10
|
| Settlement date: | July 17
|
| Ratings: | Moody's: Baa3
|
| Standard & Poor's: BBB-
|
| Fitch: BBB-
|
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