Church & Dwight prices $1.43 billion notes; CIBC sells bonds; Whole Foods paper tightens

By Cristal Cody

Tupelo, Miss., July 20 – High-grade primary action slowed on Thursday with one reported corporate issuer during the session.

Church & Dwight Co. Inc. sold $1.43 billion of senior notes in four parts.

Also on Thursday, Canadian Imperial Bank of Commerce priced $1.75 billion of five-year covered bonds.

The Markit CDX North American Investment Grade index was mostly flat at a spread of 57 basis points.

In the secondary market, Whole Foods Market Inc.’s 5.2% notes due Dec. 3, 2025 traded about 6 bps better on Thursday.

Church & Dwight sells notes

Church & Dwight sold $1,425,000,000 of senior notes (Baa1/BBB+) in four tranches on Thursday, according to a market source and an FWP filing with the Securities and Exchange Commission.

The company priced $300 million of 18-month floating-rate notes at par to yield Libor plus 15 bps.

The $300 million tranche of 2.45% five-year fixed-rate notes priced at 99.878 to yield 2.476% and a spread of Treasuries plus 65 bps.

Church & Dwight sold $425 million of 3.15% 10-year notes at 99.897 to yield 3.162% and a Treasuries plus 90 bps spread.

In the final tranche, the company priced $400 million of 3.95% 30-year notes at 99.268 to yield 3.992% and with a spread of Treasuries plus 115 bps.

The tranches all priced on the tight side of guidance.

BofA Merrill Lynch, MUFG, Wells Fargo Securities LLC and SunTrust Robinson Humphrey Inc. were the bookrunners.

The maker of personal care, household and specialty products is based in Princeton, N.J.

CIBC prices $1.75 billion

Canadian Imperial Bank of Commerce (Aaa/AAA/AAA) priced $1.75 billion of five-year covered bonds (A1/A+/AA-) on Thursday with a spread of Treasuries plus 55.15 bps, according to a market source.

CIBC World Markets Corp., Citigroup Global Markets Inc., HSBC Securities (USA) Inc. and UBS Securities LLC were the bookrunners.

The diversified financial institution is based in Toronto.

Whole Foods firms

Whole Foods Market’s 5.2% notes due Dec. 3, 2025 (Baa3/BBB-) tightened about 6 bps in secondary trading on Thursday to head out at 87 bps bid, according to a market source.

The company’s bonds have been in the 90 bps area since tightening about 85 bps on June 16 after Amazon.com, Inc. announced it will purchase the natural and organic foods grocer for $13.7 billion in cash.

Austin, Texas-based Whole Foods sold $1 billion of the notes on Nov. 30, 2015 at a Treasuries plus 300 bps spread.

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