Registration: 144A/Reg S (Cat 2); Comments: Bank Leumi Le-Israel BM (LUMIIT) exp NR/BBB/BBB US$750m 144A/Reg S (Cat 2) 11NC6 Tier 2 subordinated unsec notes due 1/29/31. Callable 1/29/26. BNPP/Citi (B&D)/HSBC/MS joint books. UOP: refi existing sub debt and other gcp. Priced 1/22. Settle 1/29 (T+5). NOTE: Company held investor calls on Jan 15. IPTs: T+200 area.;

[BANK LEUMI]

[Bank Leumi Le-Israel BM “LUMIIT” (NR/BBB/BBB) hit the market today with US$750m 144A/Reg S (Cat 2) 11NC6 Tier 2 subordinated unsec notes due 1/29/31. UOP: refi existing sub debt and other gcp. Settle 1/29 (T+5). NOTE: Company held investor calls on Jan 15.

VIA BNPP/Citi (B&D)/HSBC/MS joint books.

Announced as benchmark size, we heard initial thoughts as 200a.

Final guidance emerged at 175a.

Ultimately, a $750m deal priced at T+170bp:

PRICED: $750m 3.275% 1/29/31 100.00 3.275% T+170.

With nothing in the way of $T2 outstandings, CONCESSION IS N/A on today’s trade. The sovereign and other bank T2 comps were used for relative value.

State of Israel (A1/AA-/A+)
- ISRAEL 3.25s of 01/17/28 T+56bp (G61; $106.69)
- ISRAEL 2.50s of 01/15/30 T+64bp (G64; $100.81)

Bank T2 Comps:
United Overseas Bank Ltd (A2/BBB+/A+)
- UOBSP 3.75s of 04/15/29 (NC 4/15/24) T+108bp (G110; $104.35) – $600m pxd Apr 2019
Kookmin Bank (Baa1/B BB+)
- CITNAT 4.50s of 02/01/29 (bullet) T+142bp (G145; $110.18) - $1bn pxd Jun 2019
Kasikornbank PLC (Baa3/BBB)
- KBANKL 4.343s of 10/02/31 (NC 10/02/26) T+136bp (G126; $102.42) - $800m pxd Sept 2019
Bangkok Bank (Baa3/BBB)
- BBLTB 3.733s of 09/25/34 (NC 9/25/29) T+157bp (G157; $103.18) - $1.2bn pxd Sept 2019
Banco Santander Mexico (Baa3/BBB-)
- BSMXB 5.95s of 10/01/28 (NC 10/01/23) T+197bp (G195; $108.38) - $1.3bn pxd Sept 2018
Bancolombia (Ba3/BB+/BB)
- BCOLO 4.625s of 12/18/29 (NC 12/18/24) T+245bp (G245; $102.62) - $550m pxd Dec 2019
FirstRand Bank (Ba2/NA)
- FSRSJ 6.250s of 04/23/28 (NC 04/23/23) T+246bp (G245; $106.81) - $500m pxd Apr 2018

We didn’t get a final book size on this one, but heard $4bn away.