By Cristal Cody
Tupelo, Miss., Sept. 8 – American Honda Finance Corp. priced $1.8 billion of medium-term notes (A3/A-) in three tranches on Tuesday, according to a market source.
The company sold $300 million of three-year floating-rate notes in line with guidance at Libor plus 42 basis points.
American Honda sold $750 million of 0.65% three-year fixed-rate notes at a Treasuries plus 50 bps spread.
The notes were talked to price in the 70 bps to 75 bps over Treasuries area.
A $750 million offering of 1% five-year notes was sold at Treasuries plus 73 bps.
Initial price talk was at the 95 bps to 100 bps over Treasuries area.
ANZ Securities, Inc., BofA Securities, Inc., SG Americas Securities LLC and U.S. Bancorp Investments Inc. were the bookrunners.
American Honda Finance is a Torrance, Calif.-based financing arm of American Honda Motor Co.
| Issuer: | American Honda Finance Corp.
|
| Amount: | $1.8 billion
|
| Description: | Medium-term notes
|
| Bookrunners: | ANZ Securities, Inc., BofA Securities, Inc., SG Americas Securities LLC and U.S. Bancorp Investments Inc.
|
| Trade date: | Sept. 8
|
| Ratings: | Moody’s: A3
|
| S&P: A-
|
|
|
| Three-year floaters
|
| Amount: | $300 million
|
| Maturity: | Sept. 8, 2023
|
| Coupon: | Libor plus 42 bps
|
| Price guidance: | Libor plus 42 bps
|
|
|
| Three-year notes
|
| Amount: | $750 million
|
| Maturity: | Sept. 8, 2023
|
| Coupon: | 0.65%
|
| Spread: | Treasuries plus 50 bps
|
| Price guidance: | Treasuries plus 70 bps-75 bps area
|
|
|
| Five-year notes
|
| Amount: | $750 million
|
| Maturity: | Sept. 10, 2025
|
| Coupon: | 1%
|
| Spread: | Treasuries plus 73 bps
|
| Price guidance: | Treasuries plus 95 bps-100 bps 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.
