By Cristal Cody
Tupelo, Miss., April 29 – Co-issuers NXP BV, NXP Funding LLC and NXP USA, Inc. sold $2 billion of senior notes (Baa3/BBB/BBB-) in three tranches in a Rule 144A and Regulation S transaction on Wednesday, according to a market source.
A $500 million tranche of 2.7% five-year notes priced at a spread of Treasuries plus 235 basis points.
Initial price talk was in the Treasuries plus 300 bps area.
A $500 million offering of 3.15% seven-year notes priced at a 265 bps over Treasuries spread.
The seven-year tranche was talked at the 325 bps spread area.
The issuers also priced $1 billion of 3.4% 10-year green notes at a spread of 280 bps over Treasuries.
The 10-year green bond was initially talked to price in the Treasuries plus 335 bps area.
BofA Securities, Inc., Deutsche Bank Securities Inc. and Goldman Sachs & Co. LLC were the active managers. Passive bookrunners were Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC.
The notes will be guaranteed by parent company NXP Semiconductors NV.
A portion of the proceeds will be used for eligible green projects.
NXP is an Eindhoven, the Netherlands-based manufacturer and retailer of semiconductor chips.
| Issuers: | NXP BV, NXP Funding LLC and NXP USA, Inc.
|
| Guarantor: | NXP Semiconductors NV
|
| Amount: | $2 billion
|
| Description: | Senior notes
|
| Bookrunners: | BofA Securities, Inc., Deutsche Bank Securities Inc. and Goldman Sachs & Co. LLC (active); Citigroup Global Markets Inc. and Morgan Stanley & Co. LLC (passive)
|
| Trade date: | April 29
|
| Ratings: | Moody’s: Baa3
|
| S&P: BBB
|
| Fitch: BBB-
|
| Distribution: | Rule 144A and Regulation S
|
|
|
| Five-year notes
|
| Amount: | $500 million
|
| Maturity: | May 1, 2025
|
| Coupon: | 2.7%
|
| Spread: | Treasuries plus 235 bps
|
| Price guidance: | Treasuries plus 300 bps area
|
|
|
| Seven-year notes
|
| Amount: | $500 million
|
| Maturity: | May 1, 2027
|
| Coupon: | 3.15%
|
| Spread: | Treasuries plus 265 bps
|
| Price guidance: | Treasuries plus 325 bps area
|
|
|
| 10-year green notes
|
| Amount: | $1 billion
|
| Maturity: | May 1, 2030
|
| Coupon: | 3.4%
|
| Spread: | Treasuries plus 280 bps
|
| Price guidance: | Treasuries plus 335 bps area
|
|
|
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