Walmart preps four-part offering of notes plus green tranche; talk emerges

By Cristal Cody

Chicago, Sept. 8 – Walmart Inc. entered the Wednesday market with a four-part offering of fixed-rate notes and a separate offering of green notes, based on filed 424B5s with the Securities and Exchange Commission.

The retailer is planning to sell a five-year tranche with spread talk in the Treasuries plus 55 basis points area, a seven-year tranche with spread talk in the Treasuries plus 65 bps area, a 10-year tranche with spread talk in the Treasuries plus 75 bps area, a 20-year tranche with talk in the Treasuries plus 85 bps area and a 30-year tranche with spread talk in the Treasuries plus 95 bps area.

Four-part offering

The multi-tranche offering will have make-whole calls for each series that convert to par calls a number of months before the relevant maturity dates.

Citigroup Global Markets Inc., Mizuho Securities USA LLC, Wells Fargo Securities, LLC, BofA Securities, Inc., HSBC Securities (USA) Inc., J.P. Morgan Securities LLC and Morgan Stanley & Co. LLC are joint bookrunners for the four-part deal.

Bank of New York Mellon Trust Co., NA is the trustee.

Hunton Andrews Kurth LLP is the counsel for Walmart. Simpson Thacher & Bartlett LLP is advising the underwriters.

Proceeds will be used for a concurrent tender offer. Any remaining funds will be used for general corporate purposes.

Green notes

Walmart is also offering a series of green notes.

The notes will be redeemable at the option of the issuer with a make-whole premium until a number of months before the maturity date.

BofA Securities, Inc. is the green structuring agent.

BofA Securities, Inc., Citigroup Global Markets Inc., Morgan Stanley & Co. LLC, AmeriVet Securities, Inc., C.L. King & Associates, Inc., Samuel A. Ramirez & Co., Inc. and Siebert Williams Shank & Co., LLC are the joint bookrunners.

The listed trustee and counsel are the same as on the multipart offering.

There are no specific plans for the proceeds, outside of financing, or refinancing, as applicable, a portfolio of eligible green investments.

The discount retailer is based in Bentonville, Ark.

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