Published on 1/16/2018 in the Prospect News Investment Grade Daily.
New Issue: AerCap prices $1.15 billion guaranteed senior fixed-rate notes in two tranches
By Cristal Cody
Tupelo, Miss., Jan. 16 – AerCap Ireland Capital DAC and AerCap Global Aviation Trust priced a $1.15 billion two-tranche offering of guaranteed senior notes (Baa3/BBB-/BBB-) on Tuesday, according to a market source and an FWP filing with the Securities and Exchange Commission.
The companies sold $600 million of 3.3% five-year notes at 99.74 to yield 3.357%. The notes priced on top of guidance at a spread of 100 basis points over Treasuries.
In the second tranche, AerCap priced $550 million of 3.875% 10-year notes at 99.663 to yield 3.916%. The notes priced with a Treasuries plus 137 bps spread, on the tight side of guidance in the Treasuries plus 140 bps area.
The bookrunners were BNP Paribas Securities Corp., Goldman Sachs & Co., HSBC Securities (USA) Inc., J.P. Morgan Securities, LLC, BofA Merrill Lynch, Barclays, Citigroup Global Markets Inc., Credit Agricole Securities (USA) Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Mizuho Securities USA Inc., Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, Santander Investment Securities Inc., SunTrust Robinson Humphrey Inc., TD Securities (USA) LLC and Wells Fargo Securities LLC.
The notes are guaranteed by AerCap Holdings NV.
Proceeds will be used for general corporate purposes, including to acquire, finance or refinance aircraft assets and to repay debt.
AerCap is an independent aircraft leasing company based in Amsterdam.
| Issuers: | AerCap Ireland Capital DAC/AerCap Global Aviation Trust
|
| Guarantor: | AerCap Holdings NV
|
| Amount: | $1.15 billion
|
| Description: | Senior notes
|
| Bookrunners: | BNP Paribas Securities Corp., Goldman Sachs & Co., HSBC Securities (USA) Inc., J.P. Morgan Securities, LLC, BofA Merrill Lynch, Barclays, Citigroup Global Markets Inc., Credit Agricole Securities (USA) Inc., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., Mizuho Securities USA Inc., Morgan Stanley & Co. LLC, RBC Capital Markets, LLC, Santander Investment Securities Inc., SunTrust Robinson Humphrey Inc., TD Securities (USA) LLC and Wells Fargo Securities LLC
|
| Co-managers: | Citizens Capital Markets, Inc., Fifth Third Securities Inc., MUFG and Societe Generale CIB
|
| Change-of-control put: | 101%
|
| Trade date: | Jan. 16
|
| Settlement date: | Jan. 23
|
| Ratings: | Moody’s: Baa3
|
| S&P: BBB-
|
| Fitch: BBB-
|
| Distribution: | SEC registered
|
|
|
| Five-year notes
|
| Amount: | $600 million
|
| Maturity: | Jan. 23, 2023
|
| Coupon: | 3.3%
|
| Price: | 99.74
|
| Yield: | 3.357%
|
| Spread: | Treasuries plus 100 bps
|
| Call features: | Make-whole call at Treasuries plus 15 bps before Dec. 23, 2022; thereafter at par
|
| Price guidance: | Treasuries plus 100 bps
|
|
|
| 10-year notes
|
| Amount: | $550 million
|
| Maturity: | Jan. 23, 2028
|
| Coupon: | 3.875%
|
| Price: | 99.663
|
| Yield: | 3.916%
|
| Spread: | Treasuries plus 137 bps
|
| Call features: | Make-whole call at Treasuries plus 25 bps before Oct. 23, 2027; thereafter at par
|
| Price guidance: | Treasuries plus 140 bps area
|
© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere.
For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.
