By Paul A. Harris
Portland, Ore., Oct. 15 – Poland-based Canpack SA priced two tranches of senior notes (Ba2/BB) on Thursday, according to market sources.
The deal, which was heard to be playing to high-yield and emerging markets accounts in Europe and the United States, included €600 million of 2 3/8% seven-year notes that priced at par to yield 2.38%, tight to talk in the 2½% area.
The offering also included $400 million 3 1/8% five-year notes that priced at par to yield 3.13%, tight to talk in the 3¼% area. Initial talk on the dollar notes was in the mid-to-high 3% area.
Global coordinator and physical bookrunner Citigroup will bill and deliver for the euro-denominated notes. Global coordinator and physical bookrunner Wells Fargo Securities LLC will bill and deliver for the dollar-denominated notes. BNP Paribas was a passive bookrunner.
The co-issuer is Eastern PA Land Investment Holding LLC, representing Canpack’s operations in the United States.
The metal container supplier, which is based in Krakow, Poland, plans to use the proceeds to repay certain amounts outstanding under its revolver, to redeem its private placement notes and for general corporate purposes, including capital expenditure requirements to construct a new plant in Pennsylvania.
| Issuers: | Canpack SA and Eastern PA Land Investment Holding LLC (representing Canpack SA’s U.S. operations)
|
| Amount: | $1.1 billion equivalent
|
| Securities: | Senior notes
|
| Global coordinators: | Citigroup (bill and deliver for euro-denominated notes), Wells Fargo Securities LLC (bill and deliver for dollar-denominated notes)
|
| Physical bookrunners: | Citigroup and Wells Fargo
|
| Passive bookrunner: | BNP Paribas
|
| Co-managers: | CaixaBank and PKO BP
|
| Trade date: | Oct. 15
|
| Settlement date: | Oct. 26
|
| Ratings: | Moody's: Ba2
|
| S&P: BB
|
| Distribution: | Rule 144A and Regulation S for life
|
| Marketing: | Roadshow
|
|
|
| Euro-denominated notes
|
| Amount: | €600 million
|
| Maturity: | Nov. 1, 2027
|
| Coupon: | 2 3/8%
|
| Price: | Par
|
| Yield: | 2.38%
|
| First call: | Nov. 1, 2023 at 101.188
|
| Price talk: | 2½% area
|
|
|
| Dollar-denominated notes
|
| Amount: | $400 million
|
| Maturity: | Nov. 1, 2025
|
| Coupon: | 3 1/8%
|
| Price: | Par
|
| Yield: | 3.13%
|
| First call: | Nov. 1, 2022 at 101.563
|
| Price talk: | 3¼% 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.
