HIGHGRADE CLOSE-Twelve issuers raise US$18.225bn in IG primary

* Close to US$41bn in bonds sold in two days

* Shell (LSE: RDSB.L - news) just over 2 times covered

* WP Carey upsized to US$350m

* TJX upsized to US$1bn

* Most actively traded: KEY 5% 2026s

By Mike Gambale

NEW YORK, Sept 7 (IFR) - Below is a recap of primary issuance activity in the US high-grade market on Wednesday:

Number of deals priced: 12

Total (LSE: 524773.L - news) issuance volume: US$18.225bn

Average new issue concession: 2.22

Average book to cover: 3.03

SHELL INTERNATIONAL FINANCE BV

Shell International Finance BV, Aa2/A (n/s), announced a US$ benchmark 5-part SEC (Shanghai: 603988.SS - news) -Reg senior unsecured note offering via CITI/GS/JPM. Structure will consist of a 3-year (9/12/19) fixed and/or floater, 5-year (9/12/21), 10-year (9/12/26) and a 30-year (9/12/46). Make-whole calls apply to all tranches. UOP: GCP. Settlement date 9/12/16.

IPTs: 3-year FXD T+70bp area, 3-year FRN 3ml+equivalent, 5-year T+85bp area, 10-year T+125bp area, 30-year T+175bp area.

PRICE GUIDANCE: 3-year FXD T+55bp area (+/-2bp), 3-year FRN 3mL+equivalent, 5-year T+75bp area (+/-5bp), 10-year T+110bp area (+/-2bp), 30-year T+160bp area (+/-5bp)

LAUNCH: US$4.75bn 5-part notes

- US$1bn 3-year FXD T+53bp

- US$500m 3-year FRN 3mL+35bp

- US$1bn 5-year at T+70bp

- US$1bn 10-year at T+108bp

- US$1.25bn 30-year at T+155bp.

PRICED: US$4.75bn 5-part notes.

- US$1bn. Cpn 1.375%. Due 9/12/2019. Ip US$99.971. Yld 1.385%. T+53bp. MWC T+10bp.

- US$500m. Cpn 3mL+35bp. Due 9/12/2019. Ip par. Yld 3mL+35bp.

- US$1bn. Cpn 1.80%. Due 9/12/2021. Ip US$99.653. Yld 1.823%. T+70bp. MWC T+15bp.

- US$1bn. Cpn 2.50%. Due 9/12/2026. Ip US$98.985. Yld 2.616%. T+108bp. MWC T+20bp.

- US$1.25bn. Cpn 3.75%. Due 9/12/2046. Ip US$99.536. Yld 3.776%. T+155bp. MWC T+25bp.

BOOK: Total US$12.03bn; 3-year FRN US$730m, 3-year FXD US$1.5bn, 5-year US$2.1bn, 10-year US$3.3bn, 30-year US$4.4bn

NIC (NasdaqGS: EGOV - news) : 3-year: 2bp (3/5s curve worth 15bp, FV=G+51bp)

5-year: 4bp (vs. 1.875% '21s at G+66bp)

10-year: 3bp (vs. 2.875% '26s at G+105bp)

30-year: 1bp (vs. 4% '46s at T+154bp)

COMPS:

1.875% May 10, 2021 at G+66bp

2.875% May 10, 2026 at G+105bp

4.000% May 10, 2046 at T+154bp

THE ROYAL BANK OF SCOTLAND GROUP

The Royal Bank of Scotland Group announced SEC-registered US dollar benchmark bonds. Seven-year senior holdco notes expected to be rated Ba1/BBB-/BBB+. Moody's and S&P have positive outlooks, and Fitch has a stable outlook on RBS Group. RBS (LSE: RBS.L - news) , BNP (Paris: FR0000131104 - news) Paribas, Bank of America Merrill Lynch and Morgan Stanley (Xetra: 885836 - news) are lead managers.

IPTS: High T+275bp area

PRICE GUIDANCE: T+255bp area (+/-5bp)

LAUNCH: US$2.65bn 7-year notes at T+250bp

PRICED: US$2.65bn. Cpn 3.875%. Due 9/12/2023. Ip US$99.970. Yld 3.88%. T+250bp. First (Other OTC: FSTC - news) pay 3/12/2017.

BOOK: US$8.8bn

NIC: Flat (vs. 4.8% '26s at G+265bp, subtract 15bp for 7/10s curve, FV=G+250bp)

COMPS:

4.800% April 5, 2026 at G+265bp

NATIONWIDE BUILDING SOCIETY (LSE: CCDS.L - news)

Nationwide Building Society, rated Baa1/BBB/A-, announced a US$ benchmark 10-year (9/14/2026) subordinated Tier 2 notes via Bank of America (Swiss: BAC.SW - news) , Barclays (LSE: BARC.L - news) , Citigroup (NYSE: C - news) , JPMorgan (LSE: JPIU.L - news) and UBS (LSE: 0QNR.L - news) . 144a/RegS. UOP: GCP. Settlement date 9/14/2016.

IPTs: High T+275bp area

PRICE GUIDANCE: T+255bp area (+/-5bp)

LAUNCH: US$1.25bn at T+250bp

PRICED: US$1.25bn. Cpn 4.00%. Due 9/14/2026. Ip US$99.706. Yld 4.036%. T+250bp

BOOK: US$7bn

NIC: Flat (vs. 3.9% 2025s at G+145bp, add 5bp for maturity extension, FV=G+150bp. Sr/sub differential worth 100bp, FV=G+250bp)

COMPS:

3.900% July 21, 2025 at G+145bp

MIZUHO FINANCIAL GROUP

Mizuho Financial Group, rated A1/A-, mandated Mizuho, JP Morgan (Other OTC: MGHL - news) and Goldman Sachs (NYSE: GS-PB - news) to lead manage a US dollar five-year fixed and/or five-year FRN and a 10-year fixed rate US dollar benchmark.

IPTS: T+135bp area and the Libor equivalent for the five-year fixed/FRN and 150bp area over USTs on the 10-year.

PRICE GUIDANCE: 5-year fxd T+120bp area, 5-year FRN 3mL+equivalent, 10-year T+135bp area. Area = (+/-5bp).

LAUNCH: US$3.25bn 3-part notes

- US$1.25bn 5-year FXD T+115bp

- US$1bn 5-year FRN 3mL+114bp

- US$1bn 10-year FXD T+130bp

PRICED: US$3.25bn 3-part notes.

- US$1.25bn. Cpn 2.273%. Due 9/13/2021. Ip par. Yld 2.273%. T+115bp

- US$1bn. Cpn 3mL+114bp. Due 9/13/2021. Ip par. Yld 3mL+114bp.

- US$1bn. Cpn 2.839%. Due 9/13/2026. Ip par. Yld 2.839%. T+130bp

BOOK: US$9.2bn total; 3-year FRN US$2.6bn, 3-year FXD US$3.2bn, 5-year US$3.4bn

NIC: 5-year FXD: 1bp (vs. 2.632% '21s at G+114bp)

10-year: 6bp (vs. 3.477% '26s at G+124bp)

COMPS:

2.632% April 12, 2021 at G+114bp

3.477% April 12, 2026 at G+124bp

NISSAN MOTOR ACCEPTANCE CORP

Nissan Motor Acceptance Corporation, A3/A-, announced a US$ benchmark 3-part senior unsecured notes via CITI/HSBC/MIZ/MUFG. Structure will include a 3-year fixed and/or floating and a 5-year fixed. 144A/Reg S bonds. Settlement date 9/14/16.

IPTs: 3-year fixed T+95bp area, 3-year FRN 3mL+equivalent, 5-year T+105bp area.

PRICE GUIDANCE: 3-year FXD T+73bp area, 3-year FRN 3mL+equivalent, 5-year T+85bp area. Area = (+/-3bp).

LAUNCH: US$1.5bn 3-part notes.

- US$500m at T+70bp

- US$500m at 3mL+52bp

- US$500m at T+82bp

PRICED: US$1.5bn 3-part notes.

- US$500m. Cpn 1.55%. Due 9/13/2019. Ip US$99.991. Yld 1.553%. T+70bp. First pay 3/13/2017.

- US$500m. Cpn 3mL+52bp. Due 9/13/2019. Ip par. Yld 3mL+52bp. First pay 12/13/2016.

- US$500m. Cpn 1.90%. Due 9/14/2021. Ip US$99.810. Yld 1.940%. T+82bp. First pay 3/14/2017.

BOOK: US$5.15bn total; 3-year FRN US$1.2bn, 3-year FXD US$1.75bn, 5-year US$2.2bn

NIC: 3-year FXD: Flat (vs. 2% 2019s at G+70bp)

5-year: Flat (vs. 2.55% 2021s at G+82bp)

COMPS:

2.000% March 8, 2019 at G+70bp

2.550% March 8, 2021 at G+82bp

VALERO ENERGY CORP

Valero Energy Corp, Baa2/BBB/BBB (s/s/s), announced a US$ benchmark 10-year (9/15/2026) SEC-Reg senior unsecured note offering via Barclays, Citigroup, Mizuho and Royal Bank of Canada as active, with Mitsubishi (LSE: 7035.L - news) , Wells Fargo (Hanover: NWT.HA - news) , JPMorgan and Morgan Stanley as passive. Make-whole call applies, along with a 3-month par call prior to maturity. UOP: Refinance upcoming maturities and general corporate purposes. Settlement date 9/12/2016.

IPTs: T+200bp area

PRICE GUIDANCE: T+190bp (the #)

LAUNCH: US$1.25bn 10-year at T+190bp

PRICED: US$1.25bn. Cpn 3.400%. Due 9/15/2026. Ip US$99.655. Yld 3.441%. T+190bp. First pay 3/15/2017. MWC T+30bp.

BOOK: US$3bn

NIC: 5bp (vs. 3.65% '25s at G+175bp, add 10bp for maturity extension, FV=G+185bp)

COMPS:

3.650% March 15, 2025 at G+175bp

THE TJX COS INC

The TJX Cos Inc, rated A2/A+ (s/s), announced a US$750m 10-year (9/15/2026) SEC-Reg senior unsecured notes via Bank of America, Deutsche Bank (LSE: 0H7D.L - news) , JPMorgan and Wells Fargo. Make-whole call applies, along with 3-month par call prior to maturity. US$101 COC put. UOP: To redeem US$375m aggregate principal amount of the 6.950% notes due April 15, 2019 and for working capital and other general corporate purposes. Settlement date 9/12/16.

IPTS: T+87.5bp area.

PRICE GUIDANCE: T+80bp area (+/-2bp)

LAUNCH: US$1bn (upsized from US$750m) 10yr at T+80bp.

PRICED: US$1bn. Cpn 2.25%. Due 9/15/2026. Ip US$99.254. Yld 2.334%. T+80bp. MWC T+15bp.

BOOK: US$1.75bn

NIC: 2bp (vs. 2.5% 2023s at G+68bp. 7/10s curve worth 10bp, FV=G+78bp)

COMPS:

2.500% May 15, 2023 at G+68bp

DR. PEPPER SNAPPLE GROUP

Dr. Pepper Snapple Group Inc, Baa1/BBB+ (s/s), announced a US$400m SEC-Reg 10-year (9/15/2026) senior unsecured notes via Credit Suisse (LSE: 0QP5.L - news) , JPMorgan and Morgan Stanley. Make-whole call applies, along with a 3-month par call prior to maturity. US$101 COC put.

UOP: Redeem US$360m 6.82% 2018 notes, and pay related redemption premium, accrued interest and associated fees and expenses. Any net proceeds not used to redeem the 2018 notes will be used for general corporate purposes, which may include share repurchase, cap ex working capital, future acquisitions and investments. Settlement date 9/16/2016.

PRICE GUIDANCE: T+110bp area (+/-5bp)

LAUNCH: US$400m at T+105bp

PRICED: US$400m. Cpn 2.55%. Due 9/15/2026. Ip US$99.676. Yld 2.587%. T+105bp.

BOOK: US$3bn

NIC: 4bp (vs. 3.4% '25s at G+101bp)

COMPS:

3.400% November 15, 2025 at G+101bp

NEW YORK LIFE GLOBAL FUNDING

New York Life Global Funding, rated Aaa/AA (Other OTC: AATDF - news) +, announced a US$ benchmark 5-year (9/14/2021) notes via Barclays, Goldman Sachs and JPMorgan. UOP: GCP.

IPTS: Low T+70s

PRICE GUIDANCE: T+65bp area (+/-3bp)

LAUNCH: US$750m at T+62bp

PRICED: US$750m. Cpn 1.25%. Due 9/14/21. Ip US$99.537. Yld 1.3457%. T+62bp.

BOOK: US$1.2bn

NIC: 4bp (vs. 2% '21s at G+58bp)

COMPS:

2.000% April 13, 2021 at G+58bp

PROTECTIVE LIFE GLOBAL FUNDING

Protective Life Global Funding, A2/AA- (s/s), announced a US$600m 2-part FA-backed note offering via BARC/MS/USB. Structure will consist of a US$300m 3-year (6/13/19) and a US$300m 5-year (9/14/21) notes. 144a/RegS w/o reg rights. UOP: To purchase relevant funding agreements from Protective Life Insurance Company. Settlement date 9/14/16.

IPTS: 3-year T+85bp area, 5-year T+high 90s

PRICE GUIDANCE: 3-year T+72bp area, 5-year T+90bp area. Area = (+/-2bp).

LAUNCH: US$650m (upsized from US$600m) 2-part notes.

- US$350m (upsized from US$300m) 3-year at T+70bp.

- US$300m 5-year at T+88bp.

PRICED: US$650m (upsized from US$600m) 2-part notes. First (Shanghai: 603806.SS - news) pay 3/14/2017.

- US$350m (upsized from US$300m). Cpn 1.555%. Due 9/13/19. Ip par. Yld 1.555%. T+70bp.

- US$300m. Cpn 1.999%. Due 9/14/21. Ip par. Yld 1.999%. T+88bp.

BOOK: US$1bn total; 3-year US$600m, 5-year US$400m

NIC: 3-year: 2bp (vs. 1.722% '19s at G+68bp)

5-year: 5bp (vs. 2.7% '20s at G+83bp)

COMPS:

1.722% April 15, 2019 at G+68bp

2.700% November 25, 2020 at G+83bp

PUBLIC SERVICE ELECTRIC & GAS CO

Public Service Electric & Gas Co., Aa3/A (s/s), announced a US$425m (no grow) SEC-Reg 10-year (9/15/2026) FMB notes via Credit Suisse, Mitsubishi and Wells Fargo. Make-whole call applies, along with a 3-month par call prior to maturity. UOP: GCP. Settlement date 9/13/2016.

IPTS: T+low 90s

PRICE GUIDANCE: T+75-80bp

LAUNCH: US$425m 10-year notes at T+75bp.

PRICED: US$425m. Cpn 2.25%. Due 9/15/2026. Ip US$99.671. Yld 2.287%. T+75bp. MWC T+15bp. First pay 3/15/2017.

BOOK: US$1.8bn

NIC: 1bp (vs. 3% '25s at G+74bp)

COMPS:

3.000% May 15, 2025 at G+74bp

W.P.CAREY

W.P. Carey, rated Baa2/BBB (s/s), announced a US$250m SEC-Reg 10-year (10/1/2026) senior unsecured note offering via BARC/CITI/JPM. Make-whole call applies, along with a 3-month par call. UOP: offering to reduce amounts outstanding under senior unsecured credit facility-revolver and for general corporate purposes, including the potential future repayment of mortgages.

As of August 30, 2016, the amount outstanding under senior unsecured credit facility-revolver, which matures on January 31, 2018, was approximately US$742m; such borrowings bore interest at approximately 1.1% per annum. Settlement date 9/12/16.

IPTS: T+300bp area

PRICE GUIDANCE: T+280bp area (+/-5bp)

LAUNCH: US$350m (upsized from US$250m) at T+275bp

PRICED: US$350m. Cpn 4.25%. Due 10/1/2026. Ip US$99.682. Yld 4.289%. T+275bp. MWC T+45bp. First pay 4/1/2017.

BOOK: US$1.3bn

NIC: Flat (vs. 4% '25s at G+265bp, add 10bp for maturity extension, FV=G+275bp)

COMPS:

4.000% February 1, 2025 at G+265bp

USD HIGH-GRADE PIPELINE

MTN Group, multinational mobile operator headquartered in Johannesburg, rated Baa3 (neg) by Moody's and BBB- (neg) by S&P, has mandated BAML, Barclays, Citi and Standard Bank to arrange investor meetings in the US and UK commencing 9 September in connection with an offering of intermediate tenor USD-denominated benchmark Reg S/144A senior unsecured fixed rate notes.

Such transaction is expected to follow subject to market conditions. A preliminary prospectus is available. Stabilisation regulations including FCA/ICMA apply

NongHyup Bank, rated A1/A+ (Moody's/S&P), is marketing a 5-year US dollar benchmark at around 100bp over Treasuries. The senior unsecured bonds are expected to be rated on par with the issuer.

Citigroup, Credit Agricole (Swiss: ACA.SW - news) , HSBC, JP Morgan, Nomura and UBS are joint bookrunners of the 144A/Reg S notes.

The Toronto-Dominion Bank (Toronto: TD.TO - news) , rated Aa1 (Moody's), AA- (S&P) and AA (DBRS), has mandated TD Securities, Goldman Sachs, J.P. Morgan, and Wells Fargo Securities on a benchmark SEC-Registered 15NC10 USD-denominated Non-Viability Contingent Capital ("NVCC") Tier 2 transaction. The expected security ratings are A2 (Moody's), A- (S&P) and AL (DBRS). The prospectus supplement has been filed on Edgar. A NetRoadshow presentation has also been activated and the management team will be available for telephonic investor calls on September 6 and 7.

Korea National Oil Corp, Aa2/AA-, will meet investors this month for an offering of US dollar 144a/Reg S bonds. The roadshow begins in Hong Kong on September 5 before heading to Singapore, Frankfurt and London. On September 6, it will meet investors in New York and then Philadelphia, Boston and Los Angeles. Proceeds will refinance debt maturing this year.

Industrial Bank of Korea (KSE: 024110.KS - news) , Aa2/AA-, hired HSBC and Nomura to arrange fixed income investor meetings that took place in Hong Kong and Singapore on Monday in preparation for a 144a/RegS dollar-denominated offering.

Woori Bank, A2/A-, hired Bank of America/Merrill Lynch, Citigroup, Commerzbank (Xetra: CBK100 - news) , Credit Agricole CIB, HSBC and Nomura to arrange fixed-income investor meetings that took place in the US, Europe and Asia from July 11 to July 20. (Reporting by Mike Gambale; editing by Shankar Ramakrishnan)