Refinitiv’s $5.5 billion notes expected to price early Sept. 17 week; initial talk unchanged

By Paul A. Harris

Portland, Ore., Sept. 12 – Refinitiv is expected to price a $5.5 billion equivalent amount of high-yield notes in four tranches early in the Sept. 17 week, according to market sources.

Commitment deadlines on the concurrent $8 billion of term loans were moved up to Friday from Monday, and there were reports in the market that the bond deal, the dollar-denominated tranches of which are said to be well oversubscribed, had been moved ahead to the Sept. 10 week as well.

However, there is still work to be done on placing the euro-denominated notes, a buyside source said on Wednesday afternoon.

The euro-denominated bond tranches include $1 billion equivalent of euro-denominated 7.5-year senior secured notes (B2/B/BB+) with initial talk in the 5% area and $700 million equivalent of euro-denominated eight-year senior unsecured notes (Caa2/B-/B+) with initial talk in the 7% area.

Meanwhile both dollar-denominated tranches are well oversubscribed, with the book for a $2 billion tranche of 7.5-year senior secured notes (B2/B/BB+) heard to be twice deal-size, while the book for the $1.8 billion of unsecured notes (Caa2/B-/B+) heard to be approaching twice deal-size.

Talk on the dollar-denominated secured bonds is in the low 7% area, while talk on the dollar-denominated unsecured bonds is in the low 9% area.

That talk has not changed, an investor said on Wednesday.

JPMorgan is the global coordinator and physical bookrunner for the bond deal.

The notes in all four tranches come with three years of call protection.

Proceeds, along with $8 billion equivalent of term loan debt, will be used to help fund the acquisition of a 55% stake in Thomson Reuters Financial & Risk by Blackstone, Canada Pension Plan Investment Board and GIC, and for general corporate purposes.

When the acquisition is completed, Thomson Reuters’ Financial & Risk US Holdings Inc. will be renamed as Refinitiv US Holdings Inc.

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