Teekay, Chaparral price; PHI downsizes; California Resources active; Hertz ‘sloppy’

By Paul A. Harris and Abigail W. Adams

Portland, Me., June 26 – The new issue news flow remained brisk on Tuesday, as the market endeavors to clear $6.1 billion equivalent of announced business – dollar deals and euro deals – ahead of the coming weekend.

Teekay Offshore Partners LP priced a twice-upsized $700 million issue of five-year senior notes (Caa2/B/B) at par to yield 8½%.

Chaparral Energy Inc. priced a $300 million issue of five-year senior notes (Caa1/B-) at par to yield 8¾%.

New paper from PHI, Inc. still has yet to price. The offering of five-year senior notes was downsized to $300 million from $500 million on Tuesday with no updates on timing.

The calendar of deals set to price this week includes €1.03 billion of euro-denominated deals. Among them is Bway Corp.'s €475 million offering of six-year senior secured notes (B3/B.

Meanwhile, California Resources Corp.’s 8% senior notes due 2022 were active in the secondary space as the price of West Texas intermediate crude oil for August delivery shot past $70 a barrel.

The notes were seen up about ½ point after about a 1 point drop on Monday.

Hertz Corp.’s 7 5/8% senior notes due 2022 were trading sloppy in the secondary space with the notes down about 1 point.

The notes’ decline was attributed to a Morgan Stanley report and increased competition from Uber, which is once again allowed to operate in London, a market source said.

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