USD New Issues: $100bn March; $100bn expected for April

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IG new issuance saw $23.8bn in the final week of March, bringing the MTD to $100bn - respectable finish all considering.

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  • $100bn March; $100bn expected for April

  • New issues

  • Recent issues

     

    $100bn March; $100bn expected for April  

    IG new issuance managed to price $23.8bn for the final week of March, following the previous reopening week of $21bn. Issuance was led by two $3bn multi-tranches from Mercedes Benz (a $3bn 4-part on Monday) and Lowe's (a $3bn 4-part Tuesday).

     

    Week over week, IG corporate spreads compressed 10bps to 145bps while high yield spreads narrowed 64bps to 458bps, according to the BofA ICE Masters indexes.

     

    March ended with just over $100bn, below the estimates of $130-$150bn, but a respectable finish considering the six day string of shut-out days mid-month. Around $100bn is expected to price in the month of April, according to surveys, and roughly $15bn is expected for the shortened week (early close for Good Friday), sources say.

     

    New issues

     

    • GM Financial plans a $TBA 3-part (3y fixed, 3y FRN and 7y fixed). Leads JPM, Mizuho, Santander, SMB, WFS. Baa2/BBB/BBB-.  Price talk +195bps, SOFR equivalent and +270bps area.

       

    • McCormick is working on a $500m (no grow) 10y. Leads BofA, TSI, WFS. Baa2/BBB. Price talk +180bps area.

       

    • Evergy Metro plans a $300m (no grow) 10y. Leads BofA, JPM and MS. A2/A+. Price talk +180bps area.

       

    • Shinhan Bank is working on a $TBA 5y gender equality social bond. Leads BNPP, BofA, Credit Ag, JPM, ScoGen and Standard Chartered. Aa3/A+/A. Price talk +145bps area.  

       

    • REC Ltd. plans a $TBA 5y Green. Leads Barclays, DBS, MUFG, Standard Chartered, State Bank of India.  Baa3/BBB-. Price talk +250bps area.

       

    • KfW plans a $TBA 3y. Leads DB, HSBC and JPM. Aaa/AAA/AAA. Price talk mid swaps +22bps. Expected to price tomorrow.

       

    • World Bank is working on a $TBA 5y sust. fixed. Leads Citi, RBCCM, TD and WFS. Aaa/AAA. Price talk SOFR mid swaps +39bps area. Expected to price tomorrow.     

       

    • IADB plans a $TBA 10y sust. Leads BMO, BofA, DB and MS. Aaa/AAA. Price talk SOFR mid swaps +54bps. Expected to price tomorrow.

       

    • Ford Motor Credit is working on a $TBA 5y. Leads Citi, JPM, MS, SMBC, SocGen. Ba2/BB+/BB+.  Price talk 7.125% -7.25%. 

     

     

    Recent issues

     

    • Mar 30:  FMO (AAA) priced a $500m 2y at swaps +24bps through BofA, Daiwa, HSBC and JPM.

       

    • Mar 30: Northern Star (Baa3/BBB-) priced a $600m 10y. Leads BofA, HSBC and JPM. +270bps.

       

    • Mar 30: Western Midstream Operating LP priced a $750m 10y benchmark via WFS, TD and MUFG.  Baa3/BBB-/BB+.  +262.5bps.

       

    • Mar 29: Al Rajhi Sukuk priced a $1bn 5y sust. Sukuk. Leads RJHI, Citi, Enbr, GS, HSBC, JPM, KCIC, Standard Chartered. A1/A-. +110bps.  

       

    • Mar 29:All State priced a $750m 10y. Leads BofA, JPM, Loop, MS and WFS. A3/A-. Priced at +170bps. 

       

    • Mar 29:Aviation Capital Group priced a $600m 5y. Leads BNPP, DB, GS, RBCCM and SocGen. Baa2/BBB-. Priced at +275bps.

       

    • Mar 29:New York Life priced a 2-part FA-backed ($300m 3y FRN and $600m 3y fixed). Leads BofA, GS,. Mizuho and Siewil. Aaa/AA+/AAA.  Priced at SOFR equivalent, +85bps.

       

    • Mar 29:Archer Daniels Midland priced a $500m 10y. Leads BofA and Citi. A2/A/A. Priced at +105bps.

       

       

    • Mar 28: Hyundai Capital America priced a $2.5bn 3-part ($1.2bn 3y, $800m 5y and $500m 7y). Leads Barclays (B&D), CA, JPM, MUF, RBC and TD. +175bps, +200bps, +225bps. It dropped plans for a 3y FRN.

       

    • Mar 28: Virginia Electric & Power priced a $1.5bn 2-part ($750m 10y and $750m 30y). Leads Barclays, MIZ, MUFG, Scotia, SMBC and TD.  A2/BBB+/A-.  +150bps, +175bps.

       

    • Mar 28: Lowe's (Baa1/BBB+) priced a $3bn 4-part ($1bn 3y, $1bn 10y, $500m 30y and $500m 40y). Leads BofA, Citi, JPM and Mizuho. +95bps, +160bps, +200bps, +210bps.

       

    • Mar 28: Southwestern Electric Power priced a $350m 10y deal via GS, SMBC and WFS.  Baa2/A-/BBB+. +178bps.

       

    • Mar 28: Rexford Industrial priced a $300m 5y deal via JPM, PNC and WFC.  Baa2/BBB+/BBB+.  +160bps.

       

    • Mar 28:AIA Group priced a $600m 10y. Leads Credit Ag, MS, Standard Chartered, BNPP, Deutsche, WFC. +145bps.

       

    • Mar 28: Pennsylvania Electric priced a $300m 3y deal via Barclays, MUFG and USB.  Baa1/BBB/BBB+. +140bps.

       

    • Mar 28: Pacific Life GF II priced a $400m 5y FA-backed deal via Citi, GS, JPM and MIZ.  Aa3/AA-/AA-.  +135bps.

       

    • Mar 28: Metropolitan Edison Co. priced a $425m 5y deal via Barclays, MUFG and USB.  A3/BBB/BBB+. +160bps.

       

    • Mar 28: Pacific Gas & Electric priced a $750m 30y sustainability FMB benchmark via BofA, BMO, BNPP and WFS.  Baa3/BBB-/BBB.  +295bps.

       

    • Mar 28: Bank Mandiri priced a $300m 3y at Treasuries +183bps via Citi, HSBC (B&D), JPM, Mandiri, MUFG and StanChart.

       

    • Mar 28:Poland (A2/A-) priced a $2.5bn 10y and $2.5bn 30y bonds at Treasuries +140 and +180bps. Leads are BNPP, Citi (B&D), GS and JPM.

       

    • Mar 27: Amphenol priced a $350m 3y. Leads BNPP, BofA  and JPM. A3/BBB+. +107bps.

       

    • Mar 27: Mercedes Benz priced a $3bn 4-part ($700m 2y fixed, $300m 2y FRN, $1bn 3y and $1bn 5y). Leads Barclays, BBVA, CACIB, Citi, GS and Standard Chartered. A2/A-. +95bps, SOFR +93bps, +105bps and +123bps.

       

    • Mar 27: Phillips 66 priced a $1.25bn 2-part ($750m short 5y and $500m long 10y). Leads GS, Mizuho, MUFG, SMBC, TD and TSI. A3/BBB+. +140bps and+182bps.

       

    • Mar 27: Tennessee Valley Authority priced a $1bn 5y. Leads BofA, Barclays, MS and RBCCM. Aaa/AA+/AAA. +45bps.

       

    • Mar 27: PACCAR Financial priced a $300m 3y. Leads Mizuho, RBCCM, TD and WFS. A1/A+. +68bps.

       

    • Mar 27: Pioneer Natural Resources priced a $1.1bn 3y. Leads BofA, TD and WFS. Baa1/BBB/BBB+. +132bps.

       

    • Mar 27: Public Service Co of Colorado priced a $850m 30y FMB. Leads GS, JPM, MUFG, MS and TD. A1/A/A+. +155bps.

       

    • Mar 27: General Mills priced a $1bn 10y. Leads BofA, Barclays, DB and JPM. Baa2/BBB. +145bps.

       

    • Mar 27: Wisconsin Power & Light priced a $300m 10y Green. Leads Key, MUFG, TD and WFS. A3/A. +145bps.

       

    • Mar 27: Berry Global priced a $500m 5y. Leads Citi, JPM and WFC. BBB-/BBB-. +210bps.

       

    • Mar 27: Penske Truck Leasing priced a $750m 5y. Leads BofA, JPM, Mizuho, Santander and WFC. Baa2/BBB/BBB+. +205bps.  

       

    • Korea National Oil priced a $1bn 2-part ($550m 3y and $450m 5y). Leads Citi, Credit Agricole, CIBC, HSBC and Mizuho. +120bps and +135bps.