By Abigail W. Adams
Portland, Me., July 7 – Avantor Funding Inc. priced its dual-currency offering of eight-year senior notes (B3/B-/BB) with an upsized $1.55 billion tranche coming at par to yield 4 5/8% and a €400 million tranche pricing at par to yield 3 7/8%, according to a market source.
The dollar-denominated tranche was upsized from $1 billion and printed tighter than talk for a yield of 4¾% to 5%.
The euro-denominated tranche priced on the tight end of talk for a yield in the 4% area.
Initial price talk had the dollar-denominated tranche coming with a yield of 5% to 5¼%.
The Rule 144A and Regulation S for life notes are non-callable for three years with the first call at par plus 50% of the coupon.
Goldman Sachs & Co. LLC (lead left), Citigroup Global Markets Inc., Barclays, J.P. Morgan Securities LLC and BofA Securities Inc. are the bookrunners for the dollar notes.
Goldman Sachs & Co. LLC (lead left), Citigroup Global Markets Inc., Barclays, J.P. Morgan Securities plc and Merrill Lynch International are bookrunners for the euro-denominated notes.
Proceeds will be used to redeem the company’s 9% senior notes due 2025.
Avantor is a Radnor, Pa.-based provider of mission-critical products to the biopharma, health care, education, government and advanced technologies and applied materials industries.
| Issuer: | Avantor Funding Inc.
|
| Securities: | Senior notes
|
| Trade date: | July 7
|
| Settlement date: | July 17
|
| Ratings: | Moody's: B3
|
| S&P: B-
|
| Fitch: BB
|
| Distribution: | Rule 144A and Regulation S for life
|
| Marketing: | Quick to market
|
|
|
| Dollar notes
|
| Amount: | $1.55 billion, increased from $1 billion
|
| Maturity: | July 15, 2028
|
| Bookrunners: | Goldman Sachs & Co. LLC (lead left), Citigroup Global Markets Inc., Barclays, J.P. Morgan Securities LLC and BofA Securities Inc.
|
| Co-managers: | PNC Capital Markets LLC, HSBC Securities (USA) Inc., Evercore Group LLC and Jefferies LLC
|
| Coupon: | 4 5/8%
|
| Price: | Par
|
| Yield: | 4 5/8%
|
| Spread: | 407 bps
|
| Call protection: | Three years
|
| Price talk: | 4¾% to 5%
|
|
|
| Euro notes
|
| Amount: | €400 million
|
| Maturity: | July 15, 2028
|
| Bookrunners: | Goldman Sachs & Co. LLC (lead left), Citigroup Global Markets Inc., Barclays, J.P. Morgan Securities plc and Merrill Lynch International
|
| Co-managers: | PNC Capital Markets LLC, HSBC Securities (USA) Inc. and Jefferies International Ltd.
|
| Coupon: | 3 7/8%
|
| Price: | Par
|
| Yield: | 3 7/8%
|
| Spread: | 443 bps
|
| Call protection: | Three years
|
| Price talk: | 4% 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.
