By Devika Patel
Knoxville, Tenn., May 6 – W.R. Berkley Corp. offered further details about a $300 million sale of 4% 30-year senior notes (Baa1/BBB+/A-) that priced on Tuesday at a spread of Treasuries plus 270 basis points, according to an FWP filed with the Securities and Exchange Commission.
The notes priced at 99.515 to yield 4.028%.
Initial price talk was in the Treasuries plus 312.5 bps area with price guidance firmed to the 275 bps area, plus or minus 5 bps.
BofA Securities Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC were the bookrunners.
Proceeds will be used to repay the company's $300 million of 5.375% senior notes at maturity on Sept. 15, 2020 and for general corporate purposes.
W.R. Berkley is a Greenwich, Conn.-based insurance holding company.
| Issuer: | W.R. Berkley Corp.
|
| Amount: | $300 million
|
| Description: | Senior notes
|
| Maturity: | May 12, 2050
|
| Bookrunners: | BofA Securities Inc., Credit Suisse Securities (USA) LLC, J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC
|
| Coupon: | 4%
|
| Price: | 99.515
|
| Yield: | 4.028%
|
| Spread: | Treasuries plus 270 bps
|
| Call: | Make-whole call at Treasuries plus 40 bps until Nov. 12, 2049, then a par call
|
| Trade date: | May 5
|
| Settlement date: | May 12
|
| Ratings: | Moody’s: Baa1
|
| S&P: BBB+
|
| Fitch: A-
|
| Distribution: | SEC registered
|
| Price guidance: | Treasuries plus 275 bps area, plus or minus 5 bps; initial talk at Treasuries plus 312.5 bps area
|
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