Crown Castle, New York Life, Jackson National, Fifth Third Bank, GATX, Kommunalbanken price

By Cristal Cody

Tupelo, Miss., Jan. 29 – Investment-grade corporate bond supply totaled more than $15 billion week to date following additional issuance on Tuesday.

Only about $15 billion to $20 billion of supply was forecast for the week with many companies still in earnings blackout reporting periods, sources report.

Crown Castle International Corp. priced $1 billion of senior notes in two parts on Tuesday.

New York Life Global Funding sold $800 million of senior secured notes in fixed- and floating-rate tranches.

Jackson National Life Global Funding priced $600 million of three-year senior secured notes.

GATX Corp. sold $500 million of 10-year senior notes following fixed-income investor calls on Monday.

Fifth Third Bank brought $300 million of three-year floating-rate notes to the primary market.

In addition, Kommunalbanken AS priced $1.25 billion of five-year notes tighter than talk.

Also, the Province of Ontario was marketing a tap of its Canadian dollar-denominated 2.65% bonds due Feb. 5, 2025 (Aa2/A+/DBRS: AA) in an offering registered with the Securities and Exchange Commission on Tuesday. Ontario sold C$1 billion of the bonds on Jan. 25, 2018 at 99.759 to yield 2.688%, or a a spread of 53.3 basis points over the Government of Canada benchmark.

Volume was heavy on Monday with more than $12 billion of investment-grade bonds priced following the end of the U.S. federal government shutdown on Friday, sources report.

Elsewhere on Tuesday, the Federal Reserve kicked off a two-day monetary policy meeting. Under a new policy that took effect in January, press conferences will be held after each central bank meeting with one scheduled for Wednesday. No rate changes are expected from the first meeting of 2019, according to market sources.

The Markit CDX North American Investment Grade 31 index was mostly unchanged on Tuesday at a spread of 73 bps.

Crown Castle prices $1 billion

Crown Castle International sold $1 billion of senior notes (Baa3/BBB-/BBB) in two tranches on Tuesday, according to an FWP filing with the Securities and Exchange Commission.

Crown Castle priced $600 million of 4.3% 10-year notes at 99.461 to yield 4.367%, or a spread of 165 bps over Treasuries.

A $400 million tranche of 5.2% 30-year notes priced at 99.894 to yield 5.207%. The notes were sold with a Treasuries plus 215 bps spread.

Bookrunners were Barclays, J.P. Morgan Securities LLC, BofA Merrill Lynch, MUFG, TD Securities (USA) LLC, Citigroup Global Markets Inc., Commerz Markets LLC, Credit Agricole Securities (USA) Inc., Deutsche Bank Securities Inc., Fifth Third Securities, Inc., Mizuho Securities USA LLC, Morgan Stanley& Co. LLC, PNC Capital Markets LLC, RBC Capital Markets, LLC, SG Americas Securities, LLC, SMBC Nikko Securities America, Inc. and SunTrust Robinson Humphrey, Inc.

Houston-based Crown Castle provides shared wireless infrastructure to wireless carriers.

New York Life prices

New York Life Global Funding priced $800 million of senior secured notes due Jan. 28, 2021 (Aaa/AA+/) in two tranches on Tuesday, according to a market source.

The company sold $400 million of three-year floating-rate notes at Libor plus 28 bps.

A $400 million tranche of 2.95% three-year fixed-rate notes priced at a spread of Treasuries plus 42 bps.

BofA Merrill Lynch, Morgan Stanley and U.S. Bancorp Investments, Inc. were the bookrunners.

New York Life Global is a unit of New York-based mutual insurance company New York Life Insurance Co.

Jackson National prints

Jackson National Life Global Funding priced $600 million of 3.3% three-year senior secured notes (A1/AA-/AA-) on Tuesday at a 78 bps over Treasuries spread, according to a market source.

The notes were initially talked to price in the 95 bps area with guidance firmed to the 80 bps, plus or minus 2 bps, area.

Credit Suisse Securities (USA) LLC, JPMorgan and Morgan Stanley were the bookrunners.

The company is a financing arm of Lansing, Mich.-based Jackson National Life Insurance Co.

GATX brings $500 million

GATX sold $500 million of 4.7% 10-year senior notes (Baa2/BBB/) on Tuesday at 99.836 to yield 4.719%, according to an FWP filing with the SEC.

The notes priced at a spread of 200 bps over Treasuries.

Citigroup, BofA Merrill Lynch and Morgan Stanley were the bookrunners.

GATX is a transportation leasing company based in Chicago.

Fifth Third sells floaters

Fifth Third Bank priced $300 million of three-year floating-rate notes (A3/A-/A-) on Tuesday at Libor plus 64 bps, according to a market source.

Morgan Stanley and Academy Securities, Inc. were the lead managers.

Fifth Third Bank is a regional banking company based in Cincinnati.

Kommunalbanken in primary

Kommunalbanken (Aaa/AAA/) priced $1.25 billion of 2.75% five-year notes on Tuesday at mid-swaps plus 15 bps, or a Treasuries plus 23 bps spread, according to a market source.

The notes due Feb. 5, 2024 were initially talked to print in the mid-swaps plus 17 bps area.

BofA Merrill Lynch, Nomura Securities International, Inc., RBC and TD Securities were the lead managers of the Rule 144A and Regulation S offering.

The government-funded lender to municipalities is based in Oslo.

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