By Andrea Heisinger
New York, March 30 - Archer-Daniels-Midland Co. remarketed $1.75 billion of debentures (A2/A/A) in two tranches late on Wednesday, said a source who worked on the deal.
The $750 million of 4.479% 10-year notes sold at 100.729 to yield 4.387% with a spread of Treasuries plus 95 basis points.
A $1 billion tranche of 5.765% 30-year bonds priced at 100.738 to yield 5.713% with a spread of 120 bps over Treasuries.
The securities feature a change-of-control put at 101%.
Citigroup Global Markets Inc., J.P. Morgan Securities LLC and Merrill Lynch were the remarketing agents.
Co-remarketing agents were Barclays Capital Inc., BNP Paribas Securities Corp., Deutsche Bank Securities Inc., HSBC Securities (USA) Inc. and Morgan Stanley & Co., Inc.
The proceeds are being used to purchase treasury portfolios then used to secure purchase contract obligations of holders of corporate units.
The remarketed $1.75 billion of 4.7% debentures due 2041 were originally issued as components of 35,000 equity units issued in June of 2008.
ADM last priced bonds in a $1.5 billion sale of floating-rate notes due 2012 on Feb. 9.
The crop processor is based in Decatur, Ill.
| Issuer: | Archer-Daniels-Midland Co.
|
| Issue: | Debentures, remarketed
|
| Amount: | $1.75 billion
|
| Remarketing agents: | Citigroup Global Markets Inc., J.P. Morgan Securities LLC, Merrill Lynch
|
| Co-remarketing agents: | Barclays Capital Inc., BNP Paribas Securities Corp., Deutsche Bank Securities Inc., HSBC Securities (USA) Inc., Morgan Stanley & Co., Inc.
|
| Change-of-control put: | 101%
|
| Trade date: | March 30
|
| Settlement date: | April 4
|
| Ratings: | Moody's: A2
|
| Standard & Poor's: A
|
| Fitch: A
|
|
|
| 10-year notes
|
| Amount: | $750 million
|
| Maturity: | March 1, 2021
|
| Coupon: | 4.479%
|
| Price: | 100.729
|
| Yield: | 4.387%
|
| Spread: | Treasuries plus 95 bps
|
|
|
| 30-year bonds
|
| Amount: | $1 billion
|
| Maturity: | March 1, 2041
|
| Coupon: | 5.765%
|
| Price: | 100.738
|
| Yield: | 5.713%
|
| Spread: | Treasuries plus 120 bps
|
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