Hectic high-grade market sees 14 deals price

By Mike Gambale

NEW YORK, March 9 (IFR) - Here's a recap of primary issuance in the US high-grade market on Monday:

Number of deals priced: 14

Total (Swiss: FP.SW - news) issuance volume: US$14.04bn

Average new issue concession: 5.52

Average book to cover: 2.94

PRICED DEALS

CREDIT AGRICOLE

Credit Agricole S.A (Milan: ACA.MI - news) ., Baa3/BBB/A-, announced a US$ benchmark 144a/RegS 10-year Tier 2 subordinated notes. The sole bookrunner is Credit Agricole. Joint-lead managers are Citigroup (NYSE: C - news) , Goldman Sachs, Standard Chartered (Other OTC: SCBFF - news) and Wells Fargo (Hanover: NWT.HA - news) . Settle: T+6.

IPTs: T+240bp area

GUIDANCE: 10-year T+230bp area (+/-5bp)

LAUNCH: US$1.5bn at T+225bp

PRICED: US$1.5bn 4.375% 10yr (3/17/25). At 99.456, yld 4.443%. T+225bp.

BOOK: US$7.5bn

NIC (NasdaqGS: EGOV - news) : 3bp (vs. 4.50% '25 at G+222bp)

COMPS:

BPCEGP (Baa3/A-) 4.500% March 15, 2025 at G+222bp

BPCEGP (Baa3/BBB) 5.150% July 21, 2024 at G+215bp

ACAFP 3.875 April 4/24 105-100

BPCEGP (A2/A/A) 4.000% April 15, 2024 at G+107bp

ABBEY NATIONAL TREASURY SERVICES

Abbey National Treasury Services PLC/London (ABBEY (LSE: ABBY.L - news) ), A2/A/A, announced a US$ benchmark SEC registered 5-year (3/16/2020) senior unsecured note offering. The active bookrunners include Bank of America, Citigroup, Morgan Stanley (Xetra: 885836 - news) , Santander and Wells Fargo. UOP: GCP. Settle: 3/16/2015.

IPTs: T+ hi 80s

PRICE GUIDANCE: T+80bp area (+/- 3bp)

LAUNCH: US$1bn at T+77bp

PRICED: US$1bn 2.375% 5yr (3/16/2020). At 99.785, yld 2.421%. T+77bp. 1st pay: 9/16/2015.

BOOK: US$2.3bn

NIC: 12bp (add 5bp to 2.35% '19s, FV=G+65bp)

COMPS:

1.650% September 29, 2017 at G+25bp

2.350% September 9, 2019 at G+60bp

BARCLAYS PLC (LSE: BARC.L - news)

Barclays PLC (BACR), A3/BBB/A, announced a US$ benchmark SEC registered 10-year (3/16/2025) senior unsecured notes. Barclays (Swiss: BARC.SW - news) is the sole active bookrunner. UOP: GCP. Settle: 3/16/2015.

IPTs: T+160-165bp

PRICE GUIDANCE: 10-year T+150-155bp; 3-year 90-93bp

LAUNCH: US$3bn 2-part. US$1bn 3yr at T+90bp, US$2bn 10yr at T+150bp

PRICED: US$3bn 2-part total.

- US$1bn 2.000% 3yr (3/16/2018). At 99.991, yld 2.003%. T+90bp.

- US$2bn 3.625% 10yr (3/16/2025). At 99.685, yld 3.688%. T+150bp.

BOOK: US$7.3bn total; 3-year: US$1.9bn, 10-year: US$5.4bn

NIC: 3-year: 3bp (3/5s curve worth 15bp, FV=G+87bp)

10-year: 25bp (vs. 3.75% '24s at G+115bp, add 10bp for maturity extension, FV=G+125bp)

COMPS:

2.750% November 8, 2019 at G+102bp

3.750% May 15, 2024 at G+115bp

HSBC (Aa3/A+/AA-) 3.500% June 23, 2024 at G+98bp

TORONTO-DOMINION BANK

Toronto-Dominion Bank (TD), Aa1/AA-/AA-, announced a US$ benchmark SEC registered 2-part senior unsecured bank notes offering that includes a 3-year (3/13/2018) FXD and/or FRN. The active bookrunners include Goldman Sachs (NYSE: GS-PB - news) , TD Securities, UBS (NYSEArca: FBGX - news) and Wells Fargo. UOP: GCP. Settle: 3/13/2015.

IPTs: 3-year FXD: T+60bp area, 3-year FRN: 3mL+equivalent

PRICE GUIDANCE: 3yr FXD T+55bp area (+/- 3bp), 3yr FRN Libor equiv

LAUNCH: US$1.25bn 2-part. US$1bn 3yr FXD at T+52bp, US$250m 3yr FRN at 3mL+30bp

PRICED: US$1.25bn 2-part

- US$1bn 1.625% 3yr (3/13/2018) FXD. At 99.997, yld 1.626%. T+52bp.

- US$250m 3yr (3/13/2018) FRN. At 100, floats at 3mL+30bp.

BOOK: US$2.43bn total; 3yr FXD US$2bn, 3yr FRN US$430m

NIC: 2bp

COMPS:

2.250% November 5, 2019 at G+50bp

TOYOTA MOTOR CREDIT CORP

Toyota Motor Credit Corp (TOYOTA), Aa3/AA-, announced a US$ benchmark SEC registered 2-part offering that includes a 5-year fixed and/or FRN. The active bookunners include Barclays, Citigroup, JP Morgan and Royal Bank of Canada (Toronto: RY-PB.TO - news) . The notes contain a MWC. UOP: GCP. Settle: T+3.

IPTs: 5yr FXD T+low-mid 60s

PRICE GUIDANCE: 5yr FXD T+55bp area (+/- 3bp), 5yr FRN Libor equiv

LAUNCH: US$1.75bn 2-part. US$1.25bn 5yr FXD at T+52bp, US$500m 5yr FRN at 3mL+37bp.

PRICED: US$1.75bn 2-part total.

- US$1.25bn 2.15% 5yr FXD (3/12/2020). At 99.925, yld 2.166%. T+52bp.

- US$500m 5yr FRN (3/12/2020). At 100, floats at 3mL+37bp.

BOOK: 5-year FRN US$720m; 5-year fixed US$2.3bn

NIC: 4bp (vs. 1.450% '18s at G+28bp, 3/5s curve worth 20bp, FV=G+48bp)

COMPS:

1.450% January 12, 2018 at G+28bp

2.125% July 17, 2019 at G+42bp

BORGWARNER INC (NYSE: BWA - news)

BorgWarner Inc (BWA), Baa1/BBB+/BBB+, announced a US$1bn (no grow) SEC registered 2-part senior unsecured note offering that includes a 10-year (3/15/2025) and 30-year (3/15/2045). The active bookrunners include Bank of America, Deutsche Bank (Xetra: 514000 - news) and Wells Fargo. UOP: GCP. Settle: 3/16/2015.

IPTs: 10yr T+140bp area, 30yr T+175bp area

PRICE GUIDANCE: 10yr T+125bp area, 30yr T+165bp area. Area is +/- 5.

LAUNCH: US$1bn 2-part. US$500m 10yr at T+120bp, US$500m 30yr at T+160bp.

PRICED: US$1bn 2-part total.

- US$500m 3.375% 10yr (3/15/2025). At 99.798, yld 3.399%. T+120bp.

- US$500m 4.375% 30yr (3/15/2045). At 99.685, yld 4.394%. T+160bp.

BOOK: US$6.75bn total. 10-year: US$4.25bn, 30-year: US$2.5bn

NIC: 10-year: 5bp (vs. JCI's 3.625% 24s at G+115bp)

30-year: 5bp (vs. JCI's 3.625% 24s at G+115bp, 10/30s curve worth 40bp, FV=G+155bp)

COMPS:

JCI (Baa2/BBB+) 3.625% July 2, 2024 at G+115bp

SPECTRA ENERGY PARTNERS

Spectra Energy Partners LP (SEP (Shanghai: 600021.SS - news) ), Baa2/BBB/BBB, announced a US$1bn SEC registered 2-part senior unsecured note offering that includes a 10-year (3/15/2025) and 30-year (3/15/2045). The active bookrunners include Bank of America, JP Morgan and Suntrust. The notes contain a MWC, and a 3-month par call on the 10yr tranche and a 6mo par call on the 30yr tranche. UOP: To repay all of a portion of outstanding commercial paper, to fund capital expenditures and for GCP. Settle: 3/12/2015.

IPT: 10-year T+150bp area, 30-year T+190bp area.

PRICE GUIDANCE: 10yr T+140bp area, 30yr T+180bp area. Area is +/- 5bp.

LAUNCH: US$1bn 2-part. US$500m 10yr at T+135bp, US$500m 30yr at T+175bp

PRICED: US$1bn 2-part total. 1st pay: 9/15/2015.

- US$500m 3.50% 10yr (3/15/2025). At 99.582, yld 3.55%. T+135bp. MWC+20bp.

- US$500m 4.50% 30yr (3/15/2045). At 99.234%, yld 4.547%. T+175bp. MWC+25bp.

BOOK: Total book: US$3.05bn, 10-year: US$1.4bn, 30-year: US$1.65bn

NIC: 10-year: 5bp (add 10bp for maturity extension, FV=G+130bp)

30-year: 6bp (vs. 5.950% '43s at T+174bp, subtract 5bp for high dollar price, FV=169bp)

COMPS:

4.750% March 15, 2024 at G+120bp

5.950% September 25, 2043 at T+175bp (US$122)

DUKE ENERGY CAROLINAS

Duke Energy Carolinas LLC (DUK), Aa2/A/A+, announced a US$500m (no grow) SEC registered 30-year (6/01/2045) first mortgage bonds. The active bookrunners include Bank of America, Barclays, Citigroup, Mizuho and US Bank. The notes contain a MWC and 6mo par call. UOP: To repay at maturity US$500 million aggregate principal of the Company's 5.30% First (Other OTC: FSTC - news) and Refunding Mortgage Bonds due 10/1/2015. Settle: 3/12/2015.

IPT: T+115bp area

PRICE GUIDANCE: T+102bp area (+/- 2bp)

LAUNCH: US$500m at T+100bp

PRICED: US$500m 3.75% 30yr (6/01/2045). At 99.166, yld 3.796%. T+100bp.

BOOK: US$1.45bn

NIC: 4bp

COMPS:

4.000% September 30, 2042 at T+96bp

ACE INA HOLDINGS

ACE INA Holdings Inc (ACE), A3/A+/A+, announced a US$ benchmark SEC registered 10-year senior unsecured notes. The active bookrunners include Citigroup and Morgan Stanley, with JP Morgan (Other OTC: MGHL - news) and Wells Fargo as the passive bookrunners. The notes contain a MWC. UOP: To repay at maturity the US$500 million of ACE INA's 5.70% senior notes maturing in February 2017 and $300 million of ACE INA's 5.80% senior notes maturing in March 2018. Settle: 3/16/2015.

IPTs: T+ low 100s area

PRICE GUIDANCE: T+98bp area (+/- 3bp)

LAUNCH: US$800m at T+95bp

PRICED: US$800m 3.15% 10yr (3/15/2025). At 99.983, yld 3.152%. T+95bp. MWC+15bp. 1st pay: 9/15/2015.

BOOK: US$2.3bn

NIC: 5bp (add 10bp for maturity extension, FV=G+90bp)

COMPS:

3.350% May 15, 2024 at G+80bp

POTOMAC ELECTRIC POWER CO

Potomac Electric Power Co (POM), A2/A/A-, announced a US$200m SEC registered tap of the 4.15% 3/15/2043 first mortgage bonds (US$250m outstanding). The active bookrunners include Bank of NY Mellon, Morgan Stanley and Royal Bank of Scotland (LSE: RBS.L - news) . Co-Managers: Mischler Financial Group. UOP: Repay outstanding commercial paper and for general corporate. Settle: 3/16/2015.

IPTs: tap T+115-120bp

PRICE GUIDANCE: T+110-115bp

LAUNCH: US$200m at T+110bp

PRICED: US$200m 4.15% 3/15/2043 tap. At 104.211, yld 3.899%. T+110bp. MWC+15bp. 1st pay: 9/15/2015. Total size: US$450m

BOOK: US$400m (peak)

NIC: Tap

SAN DIEGO GAS & ELECTRIC COMPANY

San Diego Gas & Electric Company (SRE), Aa2/A+/AA- (s/s/s), announced a US$390m (no grow) SEC registered 2-part offering that includes a US$140m 2yr FRN and a US$250m 7-year fixed. The active bookrunners include Citigroup, Mitsubishi, Royal Bank of Canada and Wells Fargo.

IPTs: 2yr FRN 3mL+ hi teens, 7yr T+95bp area

PRICE GUIDANCE: 2yr FRN 3mL+20bp (the #), 7yr T+80-85bp

LAUNCH: US$390m 2-part. US$140m 2yr FRN at 3mL+20bp, US$250m 7yr at T+80bp

PRICED: US$390m 2-part total.

- US$140m 2yr (3/09/2017) FRN. At 100, floats at 3mL+20bp. 1st pay: 6/09/2015.

- US$250m 1.914% 7yr (2/01/2022) FXD. At 100, yld 1.914%. T+80bp. MWC+12.5bp. 1st pay: 8/01/2015.

BOOK: US$1.06bn total, FRN US$160m, 7yr FXD US$900m

NIC: 5bp (7/8s curve worth about 10bp, FV=G+75bp)

COMPS:

3.600% September 1, 2023 at G+85bp

AFLAC INCORPORATED (NYSE: AFL - news)

Aflac Incorporated (AFL), A3/A, announced a US$ benchmark SEC registered 2-part senior unsecured note offering that includes a 5-year (3/16/2020) and 10-year (3/17/2025). The active bookrunners include Goldman Sachs, JP Morgan, Morgan Stanley and Wells Fargo, with Bank of America, Credit Suisse (NYSE: CS - news) and Mizuho as the passive bookrunners.

The notes contain a MWC. UOP: To fund all or a portion of the redemption price of the 8.50% Senior Notes due 2019, of which $850,000,000 principal amount are outstanding, and for general corporate purposes. Settle: 3/12/2015.

IPTs: 5yr T+85bp area, 10yr T+120bp area

PRICE GUIDANCE: 5yr T+80bp area, 10yr T+115bp area. Area +/- 5bp.

LAUNCH: US$1bn 2-part. US$550m 5yr at T+75bp, US$450m 10yr at T+110bp.

PRICED: US$1bn 2-part total.

- US$550m 2.40% 5yr (3/16/2020). At 99.972, yld 2.406%. T+75bp. MWC+15bp. 1st pay: 9/16/2015.

- US$450m 3.25% 10yr (3/17/2025). At 99.602, yld 3.297%. T+110bp. MWC+20bp. 1st pay: 9/17/2015.

BOOK: Total book US$2.8bn; 5-year: US$1.5bn, 10-year: US$1.3bn

NIC: 5-year: 4bp (vs. 3.625% '24s at G+106bp, 5/10s curve worth 35bp, FV=G+71bp)

10-year: 4bp (vs. 3.625% '24s at G+106bp)

COMPS:

3.625% November 15, 2024 at G+106bp

COLUMBIA PROPERTY TRUST

Columbia Property Trust Operating Partnership L.P. (CXP), Baa2/BBB-, announced a US$250m 10-year (4/01/2025) SEC registered senior note offering. The active bookrunners include JP Morgan, Morgan Stanley and Wells Fargo. The notes are guaranteed by Columbia Property Trust Inc and contain a MWC. UOP: to repay the outstanding $300 Bridge Loan and for general corporate purposes. Settle; 3/12/2015.

IPTs: T+215bp area

PRICE GUIDANCE: T+200bp area (+/- 3bp)

LAUNCH: US$350m (upsized from US$250m) at T+197bp

PRICED: US$350m 4.15% 10yr (4/01/2025). At 99.859, yld 4.167%. T+197bp. MWC+30bp. 1st pay: 10/01/2015.

BOOK: US$1bn

NIC: 2bp (vs. last week RPAI 4% '25s)

COMPS:

RPAI (Baa3/BBB-) 4.00% March 15, 2025 at G+195bp

EPR PROPERTIES (NYSE: EPR - news)

EPR Properties (EPR), Baa2/BBB-/BBB-, announced a US$250m SEC registered 10-year senior notes. The active bookrunners include Barclays, Citigroup and JP Morgan. UOP: UOP: repay o/s balance of unsec revolving credit facility and for general business purposes.

IPTs: T+240-245bp

PRICE GUIDANCE: T+240bp area (+/- 5bp)

LAUNCH: US$300m (upsized from US$250m) at T+235bp

PRICED: US$300m 4.50% 10yr (4/01/2025). At 99.638, yld 4.545%. T+235bp. MWC+35bp.

BOOK: US$600m

NIC: Flat

COMPS:

5.250% July 15, 2023 at G+235bp

Select Income (Baa2/BBB-) 4.5% Jan 2025 at G+242bp (Reporting by Mike Gambale; editing by Shankar Ramakrishnan)