Commentary & Deal Flow

CFR CREDIT CLOSE: $34.450bn Day Puts 2025 at $1.5trn+; But Tone Feels Squishy

   Chunky deals from Alphabet ($17.5bn) and Novartis ($6bn) and UBS ($3.25bn) – combined $26.750bn – helped get November off to an impressive start.  In total 13 deal priced today for $34.450bn.

   Today’s total also pushed 2025 over the $1.5 trillion mark. Through today, 2025 sits at $1515.610bn.  So in only 9 business days, IG volume jumped $115.61bn.

   2024 did not pass the $1.5 trillion mark until Nov 21.

  HOWEVER, there was some definite softness on some of today’s deals post-pricing. Most often mentioned was Novartis – with multiple market players saying this deal was 4-6bp wide of new issue (despite about a 5bp NIC).  Also, we heard Shell was 5bp wider (we clocked NIC on that one at 7bp). 

   GOOGL was doing ok – but it came with NICs ranging from 12bp to 21bp.

   Generally speaking, some said if feels like credit generally is undergoing a repricing.

   “Repricing is beginning as this net supply tailwind turns into a headwind with expectations for both M&A and AI capex funding growing.  As well, the composition of issuance is changing. 35-40% of the issuance in the last 2 days has been 12yr +,” said one buyside source.

   We had heard another busy day on tap Tuesday.  BUT, we’ll see if secondary performance on today’s trades slows the roll.

Today's notables include the following:

Today's GOOGL 50yr tranche marked the first in this maturity since February 2022.

Looking at all 50yr tranches, GOOGLE's $2.750bn tranche today ranks as the largest 50y.

On the low spread front, Novartis made headlines on the long end of the curve.

Coming in with the 2nd tightest spread on a 30y since 2009 with T+65, behind GOOGL (T+62) and JNJ (T+62).

The 20y also tied for the lowest ever with JNJ back to 2009. GOOGL wasn't too far behind at T+72.

Turning to low coupons, NOVNVX's and GOOGL's 30yrs take the 2nd and 5th spot ytd:

NOVNVX's and GOOGL's 20yrs also take the top two spots ytd and rank through 2023:

NONVNX's 10y rank number 3 ytd with GOOGL and RDSALN ranking 1 & 2:

NOVNVX's and GOOGL's 7yrs both make the top 5 ytd. This list is now only deals priced today and last week:

NOVNVX's and GOOGL's 5yrs also make the top 5 ytd:

Away from the big deals, HWM made BBB 7y notables:

Ranking as the 3rd tightest BBB 7y through 2009:

And the 2nd lowest coupon for a BBB 7y through 2023:

HERE'S TODAY'S RUNDOWN:

[ALPHABET 8-PART]

Alphabet Inc (GOOGL) exp Aa2/AA+ (s/s) US$17.5bn SEC registered 8-part sr notes (3y FXD and/or FRN due 11/15/28, 5y FXD due 11/15/30, 7y FXD due 11/15/32, 10y FXD due 11/15/35, 20y FXD due 11/15/45, 30y FXD due 11/15/55 and 50y FXD due 11/15/75). MWC FXD tranches. 1mo par call on 3y fxd, 1mo on 5y, 2mos on 7y, 3mos on 10y, 6mos on 20y, 6mos on 30y and 6mos on 50y.. Denoms: 2,000 x 1,000. Sale into Canada; Yes - Exemption. UOP: the Issuer intends to use the net proceeds from these sales, together with the proceeds from the Concurrent Euro Notes Offering, for general corporate purposes, which may include the repayment of outstanding debt. Pricing 11/3. Settle 11/6 (T+3). CUSIP: 3y FXD: 02079K AV9, 3y FRN: 02079K AU1, 5y: 02079KAW7, 7y: 02079KAX5, 10y: 02079KAY3, 20y: 02079KAZ0, 30y: 02079KBA4, 50y: 02079KBB2. ISIN: 3y FXD: US02079KAV98, 3y FRN: US02079KAU16, 5y: US02079KAW71, 7y: US02079KAX54, 10y: US02079KAY38, 20y: US02079KAZ03, 30y: US02079KBA43, 50y: US02079KBB26. 

VIA GS (B&D on 7y, 10y)/HSBC (B&D on 3y tranches, and 5y)/JPM (B&D on 20y, 30y, 50y) as JGCs. BofA/Citi/MS/WFS joint active books.

Announced as benchmark, final size came in at $17.5bn with price progression as follows:

3yr FRN – IPT Seqv; GDNC S+52#; PXD $500m 11/15/28 FRN at SOFR+52, at 100.
3yr FXD – IPT 60a; GDNC 30#; PXD $1bn 3.875% 11/15/28 99.914 3.905% T+30. MW+5.
5yr FXD – IPT 70a; GDNC 40#; PXD $2.5bn 4.10% 11/15/30 99.963 4.108% T+40. MW+10.
7yr FXD – IPT 80a; GDNC 50#; PXD $1.25bn 4.375% 11/15/32 99.885 4.394% T+50. MW+10.
10yr FXD – IPT 90a; GDNC 62#; PXD $3.5bn 4.70% 11/15/35 99.864 4.717% T+62. MW+10.
20yr FXD – IPT 100a; GDNC 72#; PXD $2bn 5.35% 11/15/45 99.779 5.368% T+72. MW+15.
30yr FXD – IPT 110a; GDNC 82#; PXD $4bn 5.45% 11/15/55 99.340 5.495% T+82. MW+15.
50yr FXD – IPT 135a; GDNC 107#; PXD $2.75bn 5.70% 11/15/75 99.261 5.745% T+107. MW+20.

As for r/v, outstanding GOOGL was quoted as follows:

GOOGL 4.000% due 05/15/30 T+19bp (G22; $100.45) - $750m pxd 4/28/25 +32
GOOGL 4.500% due 05/15/35 T+45bp (G47; $99.68) - $1.25bn pxd 4/28/25 +47
GOOGL 1.900% due 08/15/40 T+85bp ($68.35) - $1.25bn pxd AUG 2020
GOOGL 2.050% due 08/15/50 T+53bp ($56.36) - $2.50bn pxd AUG 2020
GOOGL 5.250% due 05/15/55 T+61bp ($99.55) - $1.5bn pxd 4/28/25 +62
GOOGL 2.250% due 08/15/60 T+49bp ($53.190) - $2.0bn pxd AUG 2020
GOOGL 5.300% due 05/16/65  T+70bp ($98.85) - $1.5bn pxd 4/28/25 +70

• 50yr – 30yr f/v T+61bp + 25bp 30s/50s curve = T+ 86bp.  At the T+ 107bp pricing level, 50YR CONCESSION IS 21BP
• 30yr – May ‘55s T+61bbp At the T+82bp pricing level, 30YR CONCESSION IS 21BP.
• 20yr – 30yr f/v T+61bp, minus 10bp 20s/30s = T+51bp.  At the T+72bp pricing level, 20YR CONCESSION IS 21BP.
• 10yr – May ‘35s G47; Call f/v T+48bp.  At the T+62bp pricing level, 10YR CONCESSION IS 14BP.
• 7yr – 10yr f/v T+48bp, minus 10bp 7s/10s = T+38bp.  At the T+50bp pricing level, 7YR CONCESSION IS 12BP.
• 5yr – 10yr f/v T+48bp minus 20bp 5s/10s = T+28bp.  At the T+40bp pricing level, 5YR CONCESSION IS 12BP.
• 3YR – 5yr f/v T+28bp minus 10bp 3s/5s = T+18bp.  At the T+30bp pricing level, 3YR CONCESSION IS 12BP. 

FINAL BOOKS:

$500m 3yr FRN - $3.450bn (6.90x) - PEAK $3.500bn

$1bn 3yr FXD - $6.150bn (6.15x) - PEAK $7.700bn

$2.5bn 5yr - $8.700bn (3.48x) - PEAK $11.800bn

$1.25bn 7yr - $11.500bn (9.20x) - PEAK $13.900bn

$3.5bn 10yr - $14.800bn (4.23x) - PEAK $17.700bn

$2bn 20yr - $5.300bn (2.65x) - PEAK $7.700bn

$4bn 30yr - $14.800bn (3.70x) - PEAK $15.900bn

$2.75bn 50yr - $10.650bn (3.87x) - PEAK $11.000bn

[NOVARTIS 7-PT] 

Novartis Capital Corp (NOVNVX) exp Aa3/AA- US$6bn SEC registered 7-part sr notes (3y FXD and/or FRN due 11/5/28, 5y FXD due 11/5/30, 7y FXD due 11/5/32, 10y FXD due 11/5/35, 20y FXD due 11/5/45 and 30y FXD due 11/5/55). MWC FXD tranches. 1mo par call on 3y FXD, 1mo on 5y, 2mos on 7y, 3mos on 10y, 6mos on 20y and 6mos on 30y. Tax changes call on all tranches. Guarantor: Novartis AG. Denoms: 2,000 x 1,000. Sale into Canada: Yes - Exemption. UOP: general corporate purposes outside of Switzerland, including the refinancing of existing long- and short-term indebtedness. Pricing 11/3. Settle 11/5 (T+2). CUSIP: 3y FRN: 66989HBD9, 3y FXD: 6989HAX6, 5y: 66989HAY4, 7y: 66989HAZ1, 10y: 66989HBA5, 20y: 66989HBB3, 30y: 66989HBC1. ISIN: 3y FRN: US66989HBD98, 3y FXD: US66989HAX61, 5y: US66989HAY45, 7y: US66989HAZ10, 10y: US66989HBA59, 20y: US66989HBB33, 30y: US66989HBC16.

 VIA  Barc/BofA/HSBC/JPM (B&D) joint active books. 

Announced with benchmark size, final size came in at $6bn with price progression as follows:

3y FRN - IPT SOFR equiv; GDNC S+52#; PXD $800m 11/5/28 FRN at SOFR+52, at 100.

3y FXD - IPT T+55 area; GDNC T+30#; PXD $700m 3.90% 11/5/28 99.978 3.908% T+30. MW+5.

5y - IPT T+70 area; GDNC T+45#; PXD $1.75bn 4.10% 11/5/30 99.700 4.167% T+45. MW+7.5.

7y - IPT T+75 area; GDNC T+50#; PXD $925m 4.30% 11/5/32 99.409 4.399% T+50. MW+7.5.

10y - IPT T+80 area; GDNC T+55#; PXD $925m 4.60% 11/5/35 99.564 4.655% T+55. MW+10.

20y - IPT T+80 area; GDNC T+55#; PXD $350m 5.20% 11/5/45 99.889 5.209% T+55. MW+10.

30y - IPT T+90 area; GDNC T+65#; PXD $550m 5.30% 11/5/55 99.464 5.336% T+65. MW+10.

As for r/v, outstanding NOVNVX was quoted as follows:

-NOVNVX 3.800% due 08/18/29 T+26bp (G32; $99.35) - $1bn pxd SEPT 2024
-NOVNVX 4.000% due 09/18/31 T+40bp (G32; $99.37) - $850m pxd SEPT 2024
-NOVNVX 4.200% due 09/18/34 T+37bp (G44; $97.95) - $1.1bn pxd SEPT 2024
-NOVNVX 4.700% due 09/18/54 T+61bp ($91.05) - $750m pxd SEPT 2024

*** 30yr: Sept ‘54 T+61, add 1bp for ‘54/’55 curve gets f/v to T+62bp. At the T+65bp pricing level, 30yr CONCESSION IS 3BP.

*** 10yr: Sept ‘34 G44, add 3bp for ‘34/’35 curve gets = 47bp. Also looking at 30y f/v at T+62, take away 10bp for IPT curve = 52bp. Going midpoint call f/v at T+50bp. At the T+55bp pricing level, 10yr CONCESSION IS 5BP.

*** 20yr: Same IPT as the 10y, call f/v at T+50bp. At the T+55bp pricing level, 10yr CONCESSION IS 5BP.

*** 7yr: 10y f/v at T+50, take away 5bp for IPT curve gets f/v to T+45bp. At the T+50bp pricing level, 7yr CONCESSION IS 5BP.

*** 5yr: 7y f/v at T+45, take away 5bp for IPT curve gets f/v to T+40bp. At the T+45bp pricing level, 5yr CONCESSION IS 5BP.

*** 3yr: 5y f/v at T+40, take away 15bp for IPT curve gets f/v to T+25bp. At the T+30bp pricing level, 3yr CONCESSIN IS 5BP.

COMPS AWAY:

Roche Holdings Inc (Aa2/AA/AA)
-ROSW 4.203% due 09/09/29 T+37bp (G44; $100.37) - $900m pxd SEPT 2024
-ROSW 4.909% due 03/08/31 T+53bp (G51; $103.01) - $750m pxd MAR 2024
-ROSW 4.592% due 09/09/34 T+46bp (G55; $100.19) - $1bn pxd SEPT 2024
-ROSW 5.218% due 03/08/54 T+65bp ($98.09) - $1.6bn pxd MAR 2024

Johnson & Johnson (Aaa/AAA)
-JNJ 4.500% due 03/01/27 T+12bp (G6; $100.99) - $750m pxd FEB 2025
-JNJ 4.550% due 03/01/28 T+9bp (G9; $101.09) - $750m pxd FEB 2025
-JNJ 4.700% due 03/01/30 T+23bp (G27; $102.90) - $1bn pxd FEB 2025
-JNJ 4.850% due 03/01/32 T+23bp (G31; $103.85) - $1.25bn pxd FEB 2025
-JNJ 5.000% due 03/01/35 T+36bp (G40; $103.89) - $1.25bn pxd FEB 2025

Astrazenca Finance LLC (A1/A+)
-AZN 4.850% due 02/26/29 T+30bp (G40; $102.48) - $1.25bn pxd FEB 2024
-AZN 4.900% due 02/26/31 T+47bp (G46; $103.25) - $1bn pxd FEB 2024
-AZN 5.000% due 02/26/34 T+38bp (G51; $103.41) - $1.5bn pxd FEB 2024

Eli Lilly (Aa3/A+)
-LLY 4.000% due 10/15/28 T+27bp (G27; $100.30) - $1bn pxd 08/18/25 +25
-LLY 4.250% due 03/15/31 T+48bp (G51; $100.22) - $750m pxd 08/18/25 +40
-LLY 4.550% due 10/15/32 T+49bp (G51; $100.88) - $1bn pxd 08/18/25 +48
-LLY 4.900% due 10/15/35 T+58bp (G59; $101.59) - $1.25bn pxd 08/18/25 +57
-LLY 5.550% due 10/15/55 T+67bp ($102.72) - $1bn pxd 08/18/25 +65
-LLY 5.650% due 10/15/65 T+78bp ($102.81) - $1bn pxd 08/18/25 +73

FINAL BOOKS:

$800m 3yr FRN - $2.200bn (2.75x) - PEAK $2.200bn

$700m 3yr FXD- $2.100bn (3.00x) - PEAK $3.100bn

$1.75bn 5yr - $3.100bn (1.77x) - PEAK $4.100bn

$925m 7yr - $1.800bn (1.95x) - PEAK $3.700bn

$925m 10yr - $1.400bn (1.51x) - PEAK $3.700bn

$350m 20yr - $500m (1.43x) - PEAK $2.200bn

$550m 30yr - $900m (1.64x) - PEAK $3.300bn

[SHELL FINANCE] 

Shell Finance US Inc (RDSALN) exp Aa2/A+/AA- US$2.35bn SEC registered 3-part sr notes (5y FXD and/or FRN due 11/6/30 and long 10y FXD due 1/6/36). MWC on FXD tranches. 1mo par call on 5y FXD and 3mos on L10y. Guarantor: Shell plc. Guarantor ratings: Aa2/A+/AA- (s/s/s). Denoms: 1,000 x 1,000. Governing Law: State of New York. Listing: NYSE. Sale into Canada: Yes - Via Exemption. UOP: gcp. Pricing 11/3. Settle 11/6 (T+3). CUSIP. 5y FXD: 822905AN5, 5y FRN: 822905AP0, L10y: 822905AQ8. ISIN: 5y FXD: US822905AN55, 5y FRN: US822905AP04, L10y: US822905AQ86. 

VIA Citi/HSBC/JPM/MS (B&D)/SMBC joint active books.

Announced as a benchmark, , final size came in at $2.35bn with price progression as follows: 

5y FRN –  IPT SOFR equiv; GDNC S+78#; PXD $350m 11/16/30 FRN at SOFR+78, at 100.

5y FXD – IPT T+80 area; GDNC T+50#; PXD $1bn 4.125% 11/16/30 99.616 4.211% T+50. MW+10.

L10y – IPT T+95 area; GDNC T+67#; PXD $1bn 4.75% 1/6/36 99.839 4.771% T+67. MW+15.

As for r/v, outstanding RDSALN was quoted as follows:
-RDSALN 2.375% due 11/07/29 T+29bp (G34; $94) - $1.075B exch. Sep 2024
-RDSALN 2.750% due 04/06/30 T+36bp (G39; $95) - $1.355B exch. Sep 2024
-RDSALN 4.125% due 05/11/35 T+50bp (G52; $96) - $1.192B exch. Sep 2024
-RDSALN 4.550% due 08/12/43 T+70bp ($91) - $960M exch. Sep 2024
-RDSALN 3.750% due 09/12/46 T+75bp ($80) - $1.004B exch. Sep 2024
-RDSALN 3.250% due 04/06/50 T+74bp ($71) - $1.664B exch. Sep 2024

** The outstanding RDSALN bonds were issued by Shell International Finance BV back in 2015, and were later exchanged to Shell Finance US Inc in 2024. 

** L10y - outstanding May 35s G52; plus curve, call f/v T+60bp. At the T+67bp pricing level, L10YR CONCESSION IS 7BP.

** 5y - L10y f/v T+60bp; minus 15bp 5s/L10s curve at IPT = T+45bp. (5bp)

Or using outstanding Apr 30s G39; plus 3bp curve = T+42bp. (8bp)

5YR MID-POINT CONCESSION IS 7BP.

Comps away:

Equinor ASA (Aa2/AA-)
-EQNR 4.500% due 09/03/30 T+41bp (G42; $102) - $400M pxd 5/27/25 +50
-EQNR 5.125% due 06/03/35 T+59bp (G63; $103) - $800M pxd 5/27/25 +70

TotalEnergies Capital SA (Aa3/A+/WD)
-TTEFP 5.150% due 04/05/34 T+47bp (G59; $104) -$1.25B pxd Apr 2024
-TTEFP 4.724% due 09/10/34 T+49bp (G57; $101) - $750M pxd Sep 2024

BP Capital Markets America Inc (A1/A-/A+)
-BPLN 4.970% due 10/25/29 T+44bp (G50; $103) - $750M pxd May 2024
-BPLN 4.868% due11/25/29 T+45bp (G50; $103) - $650M pxd Nov 2024
-BPLN 5.227% due 11/17/34 T+65bp (G72; $103) - $1.95B pxd Nov 2024

Chevron USA Inc (Aa2/AA-)
-CVX 4.300% due 10/15/30 T+41bp (G41; $101) - $1.2B pxd 8/11/25 +50
-CVX 4.850% due 10/15/35 T+58bp (G58; $101) - $900M pxd 8/11/25 +62

FINAL BOOKS:

$350m 5yr FRN - $1.150bn (3.29x) - PEAK $1.350bn

$1bn 5yr FXD - $3.500bn (3.50x) - PEAK $4.200bn

$1bn L10yr - $2.550bn (2.55x) - PEAK $4.300bn

[UBS GROUP] 

UBS Group AG (UBS) exp A2/A-/A US$2bn 144A/Reg S 2-part fixed to floating sr notes (8nc7 due 11/6/33 and 21.5nc20.5 due 5/6/47). Optional Redemption: Par call: 1-year prior to maturity. Floating rate commencement dates: 11/6/32 and 5/6/46 respectively. Interest Payment Frequency: May 6 and November 6 in each year, from (and including) May 6, 2026 to (and including) the Floating Rate Commencement Date. Special Redemption: At the Issuer's option at par upon a Tax Event or Ineligibility Event, as defined and more particularly described in Condition 6(b) (Redemption and Purchase – Early Redemption due to a Tax Event) and Condition 6(e) (Redemption and Purchase – Early Redemption due to Ineligibility Event) in the General Terms and Conditions in the Base Prospectus (as defined below) (the "General Terms and Conditions"). The Early Redemption Date being any Business Day (as defined in each Pricing Supplement (as defined below)) following the Tax Event or Ineligibility Event, subject to the Issuer giving not less than 10 and not more than 35 days' prior notice. Denoms: USD 200k x USD 1k. Sales into Canada: Yes - Exemption. Exchange: SIX Swiss Exchange. Pricing 11/3. Settle 11/6 (T+3). 144A CUSIP: 8nc7: 902613 BT4, 21.5nc20.5: 902613 BU1. 144A ISIN: 8nc7: US902613BT44, 21.5nc20.5: US902613BU17. 

VIA UBS (B&D) sole books.

The deal was announced overnight with benchmark size.  Ultimately a $2bn Deal priced with price progression as follows:

8nc7 – IPT T+120a; GDNC 95#; PXD $2bn 4.844% 11/6/33 100.00 4.844% T+95. Back-end: SOFR+129.0.
21.5nc20 – IPT 115a; GDNC 87.5#; PXD $1.25bn 5.528% 5/6/47 100.00 5.528% T+87.5. Back-end: SOFR+149.0.

As for r/v, outstanding UBS was quoted as follows:

-UBS 4.398% due 09/23/31 (nc 30) T+80bp (G81; $99.45) - $1.0bn pxd 9/18/25 +73
-UBS 5.010% due 03/23/37 (nc 36) T+99bp (G96; $99.22) - $1.75bn pxd 9/18/25 +90
-UBS 5.379% due 09/06/45 (nc 44) T+70bp ($100.06) - $1.50bn pxd SEPT 2034

** 8NC7; Interpolating between the 37nc36 at G96 and the 31nc30 at G81 f/v for an 8nc7 was pegged around T+90bp. At the T+95bp pricing level, 8NC7 CONCESSION IS 5BP. 

** 21nc10: Always a bit tricky this maturity – not many data points - and do you use 10s/20 pricing curves? Or 10s/20s secondary curves.   

The Barclays 46nc45 below priced around 12bp inside 10yrs in August.  It’s currently trading 18bp inside.

JPM 10s/20 below are currently 10bp inverted.

IPT pointed to the 21.5nc20.5 landing 5bp inside the 8nc7.  It landed 7.5bp inside at T+87.5bp.  So if the 8nc7 tranche NIC is 5bp, that would put the 21nc10 concession at 2.5bp. 

If you used the current JPM 10bp 10s/30s inversion - and the 12bp inversion on Barclays at pricing (18bp inside secondary seemed not doable) - mid point (11bp) also points to around T+85bp f/v (subtracting 11bp from G96 on the UBS 37nc36). 

21.5NC20.5 CONCESSION IS 2.5BP. 

FINAL BOOKS:

$2.00bn 8nc7 - $4.80bn (2.40x) - PEAK $5.800BN
$1.25bn 21.5nc20.5 - $3.5bn (2.80x) - PEAK $5.500BN

[EBAY INC] 

eBay Inc (EBAY) exp Baa1/BBB+ (s/s) US$1bn SEC registered 2-part sr notes (L3y FXD due 3/6/29 and 10y FXD due 11/6/35). MWC then 1mo par call on L3y and 3mo on 10y. CoC at 101. Citi/DB (B&D)/GS joint active books. UOP: General corporate purposes, which may include capital expenditures, share repurchases, repayment of other indebtedness and possible acquisitions. Denoms: 2,000 x 1,000. Sales into Canada: Yes via exemption. Pricing 11/3. Settle 11/6 (T+3). CUSIP/ISIN:CUSIP/ISIN: L3y: 278642BD4/US278642BD42, 10y: 278642BE2/US278642BE25.

   VIA Citi/DB (B&D)/GS joint active books.

    Announced as benchmark, final size came in at $1bn with price progression as follows:

• L3yr – IPT 95a; GDNC 65#;  PXD $600m 4.25% 3/6/29 99.977 4.259% T+65
• 10YR – IPT 125a; GDNC 103#; PXD $400m 5.125% 11/6/35 99.923 5.135% T+103.

    As for r/v, outstanding EBAY was quoted as follows    

- EBAY 5.950% due 11/22/27 T+45bp (G45; $103.57) - $300m pxd NOV 2022
- EBAY 2.600% due 05/10/31 T+74bp (G69; $91.02) - $750m pxd MAY 2021
- EBAY 6.300% due 11/22/32 T+50bp (G72; $109.79) - $425m pxd NOV 2022
- EBAY 4.000% due 07/15/42 T+90bp ($82.61) - $750m pxd JUL 2012
- EBAY 3.650% due 05/10/51 T+82bp ($74.80) - $1.00bn pxd MAY 2021

COMPS AWAY:

Autodesk Inc (A3/BBB+/BBB+)
- ADSK 2.400% due 12/15/31 T+81bp (G70; $88.75) - $1.00bn pxd OCT 2021
- ADSK 5.300% due 06/15/35 T+83bp (G86; $102.73) - $500m pxd 6/3/25 +87

Expedia Group (Baa2/BBB/BBB)
- EXPE 2.950% due 03/15/31 T+75bp (G72; $92.83) - $498.380m outstanding
- EXPE 5.400% due 02/15/35 T+98bp (G104; $98.00) - $1.00bn pxd 2/19/25 +95

We heard f/v was pegged at T+65bp L3yr and T+95bp on the 10yr.

Factoring for these f/v levels doesn’t really make sense using EBAY old outstandings. 

Possibly ADSK recent ‘35s (G86) + 10ish gets you to T+95bp.  At the T+103bp pricing level, 10YR CONCESSION IS 8BP.

10yr f/v T+95bp minus 30bp L3yr/10yr curve at IPT = T+65bp.  At the T+65bp pricing level, L3YR CONCESSION IS FLAT. 

FINAL BOOKS:

$600m L3yr - $2.100bn (3.50x) - PEAK $2.500bn

$400m 10yr - $750m (1.88x) - PEAK $1.600bn

[NISOURCE INC] 

NiSource Inc (NI) exp Baa3/BBB-/BB+ (s/s/s) US$1bn SEC registered 30.7nc5.5 fixed rate reset (with coupon floor) jr sub notes due 7/15/56. Reset frequency: resets on 7/15/31 and every fifth anniversary thereafter. Interest rate: The Notes will bear interest (i) from and including November 7, 2025 (the “original issue date”) to, but excluding, July 15, 2031 (the “First Reset Date”) at the rate of % per annum and (ii) from and including the First Reset Date, during each Reset Period at a rate per annum equal to the Five-year U.S. Treasury Rate as of the most recent Reset Interest Determination Date plus a spread of %, to be reset on each Reset Date; provided that the interest rate during any Reset Period will not reset below % per annum (which is the same interest rate as in effect during the Initial Fixed Period). Interest Pay Dates: Notes will be payable semi-annually in arrears on January 15 and July 15 of each year, beginning on July 15, 2026 (long first interest period). Pricing 11/3. Settle 11/7 (T+4). 

VIA Barc/GS (B&D)/Miz/MS/MUFG joint active books.

Announced with benchmark size, we heard initial thoughts as 6.125-6.25%.

Guidance came in at 5.75%#.

Ultimately, a $1bn deal priced as follows:

$1bn 5.75% 7/15/56 at 100.00 5.75%. Back-end Reset: T+203.5.

As for r/v, this is NI’s first Jr Sub note with a coupon floor, thus CONCESSION N/A. outstanding NI was quoted as follows:

-NI 6.950% due 11/30/54 nc 08/30/29 $104.50 (G198; 5.63% YTC) - $500m pxd MAY 2024 b/e +245.1 (w/o coupon floor)

COMPS AWAY:

Alliant Energy (Baa3/BBB-)
-LNT 5.750% due 04/01/56 nc 01/01/31 $100.25 (G198; 5.69% YTC) - $725m pxd 09/23/25 b/e +207.7 (with coupon floor)

Dominion Energy Inc (Baa3/BBB-/BBB-)
-D 6.000% due 02/15/56 nc 11/15/30 $101.30 (G198; 5.70% YTC) - $1.45bn pxd 08/04/25 b/e +226.2 (with coupon floor)

Sempra (Baa3/BBB-/BBB-)
-SRE 6.375% due 04/01/56 nc 01/01/31 $102.50 (G207; 5.77% YTC) - $800m pxd 08/29/25 b/e 263.2 (with coupon floor)

American Electric Power (Baa3/BBB-/BB+)
-AEP 5.800% due 03/15/56 nc12/15/30 $100.05 (G206; 5.78% YTC) - $1.1bn pxd 09/23/25 b/e +212.8 (with coupon floor)

Centerpoint Energy Inc (Baa3/BBB-/BB+)
-CNP 5.950% due 04/01/56 nc 01/01/31 $100.70 (G211; 5.80% YTC) - $700m pxd 09/30/25 b/e +222.3 (with coupon floor)

FINAL BOOK:

$1bn 30.7nc5.5 Jr Sub - $2.100bn (2.10x) - PEAK $4.200bn

[WEC ENERGY GROUP] 

WEC Energy Group Inc (WEC) Baa2/BBB/BBB- (s/s/s) US$600m SEC registered 30.5nc5.25 fixed rate reset $1000 par jr subordinated notes due 5/15/56. Reset Date: 5/15/31 (first reset date), and May 15 of every fifth year after 2031. Pricing 11/3. Settle T+3.

VIA Barc/BofA/Citi/MS/USB/WFS (B&D) joint books.

Announced with benchmark size, we heard initial thoughts as 6.00-6.125%.

Went straight to launch at $600m 30.5nc5.25 at 5.625%.

Ultimately, a $600m deal priced as follows:

$600m 5.625% 5/15/56 100.00 5.625%. Back-end Reset: T+190.5.

As for r/v, this is WEC’s first jr sub notes issuance, thus CONCESSION N/A.

Centerpoint Energy Inc (Baa3/BBB-/BB+)
-CNP 5.950% due 04/01/56 nc 01/01/31 $100.70 (G211; 5.80% YTC) - $700m pxd 09/30/25 b/e +222.3 (with coupon floor)

EUSHI Finance Inc (Ba1/BB+/BB+)
-EMACN 6.250% due 04/01/56 nc 01/01/31 $99.80 (G256; 6.29% YTC) - $m pxd 09/29/25 b/e +250.9 (with coupon floor)

Alliant Energy (Baa3/BBB-)
-LNT 5.750% due 04/01/56 nc 01/01/31 $100.25 (G198; 5.69% YTC) - $725m pxd 09/23/25 b/e +207.7 (with coupon floor)

American Electric Power (Baa3/BBB-/BB+)
-AEP 5.800% due 03/15/56 nc 12/15/30 $100.05 (G206; 5.78% YTC) - $1.1bn pxd 09/23/25 b/e +212.8 (with coupon floor)

Sempra (Baa3/BBB-/BBB-)
-SRE 6.375% due 04/01/56 nc 01/01/31 $102.50 (G207; 5.77% YTC) - $800m pxd 08/29/25 b/e 263.2 (with coupon floor)

Dominion Energy Inc (Baa3/BBB-/BBB-)
-D 6.000% due 02/15/56 nc 11/15/30 $101.30 (G198; 5.70% YTC) - $1.45bn pxd 08/04/25 b/e +226.2 (with coupon floor)

NextEra Energy Capitla (Baa2/BBB/BBB)
-NEE 6.375% due 08/15/55 nc 5/15/30 $104.00 (G167; 5.36% YTC) - $1.5bn pxd FEB 2025 b/e +205.3 (with coupon floor)

FINAL BOOK:

$600m 30.5nc5.25 Jr Sub - $2.850bn (4.75x) - PEAK $5.100bn

[EPR PROPERTIES] 

EPR Properties (EPR) exp Baa3/BBB-/BBB- (s/s/s) US$550m (up from 400m) SEC registered 5y sr notes due 11/15/30. MWC then 1mo par call. Denoms: 2,000 x 1,000. Sale into Canada: Yes - exemption. UOP: We intend to use the net proceeds from this offering to repay the outstanding principal balance of our unsecured revolving credit facility and the remaining amount of net proceeds for general business purposes, which may include funding our ongoing pipeline of acquisition and build-to-suit projects. Pending application of any portion of the net proceeds from this offering to the uses described above, we may invest such proceeds in interest-bearing accounts and short-term interest-bearing securities which are consistent with our qualification as a REIT under the Internal Revenue Code of 1986, as amended (the “Code”). Marketing: https://dealroadshow.com Passcode: EPR2025. Pricing 11/3. Settle 11/13 (T+7). CUSIP: 26884UAH2, ISIN: US26884UAH23. 

VIA Barc/BofA/JPM (B&D)/RBC joint active books. 

Announced with $400m size, we heard initial price thoughts as T+150-155.

Guidance came in at T+130#. Upsized at launch to $550m

Ultimately, a $550m deal priced as follows:

$550m 4.75% 11/15/30 98.800 5.024% T+130. MW+20.

As for r/v, outstanding EPR was quoted as follows:
-EPR 4.950% due 04/15/28 T+98bp (G98; $100.9) - $400M pxd Apr 2018
-EPR 3.750% due 08/15/29 T+108bp (G115; $96.5) - $500M pxd Aug 2019
-EPR 3.600% due 11/15/31 T+137bp (G127; $92.4) - $400M pxd Oct 2021

** Outstanding EPR Nov 31s G127; minus 4bp for 5s/6s curve, new 5y f/v is T+123bp. At the T+130bp pricing level, CONCESSION IS 7BP.

Realty Income Corp (A3/A-/N/A)
-O 3.950% due 02/01/29 T+54bp (G52; $99.5) - $400M pxd 09/25/25 +48
-O 4.500% due 02/01/33 T+79bp (G77; $98.9) - $400M pxd 09/25/25 +73
-O 5.125% due 02/15/34 T+67bp (G80; $102.4) - $800M pxd Jan 2024
-O 5.125% due 04/15/35 T+81bp (G85; $101.6) - $600M pxd Apr 2025

NNN Reit Inc (Baa1/BBB+/N/A)
-NNN 4.600% due 02/15/31 T+80bp (G78; $100.5) - $500M pxd 06/24/25 +90
-NNN 5.600% due 10/15/33 T+76bp (G91; $104.9) - $500M pxd Aug 2023
-NNN 5.500% due 06/15/34 T+86bp (G97; $103.8) - $500M pxd May 2024

WP Carey Inc (Baa1/BBB+/N/A)
-WPC 4.650% due 07/15/30 T+78bp (G80; $100.7) - $400M pxd 07/07/25 +90
-WPC 2.450% due 02/01/32 T+60bp (G88; $88) - $350M pxd Oct 2021
-WPC 5.375% due 06/30/34 T+87bp (G97; $102.9) - $400M pxd Jun 2024

Agree LP (Baa1/BBB+/A-)
-ADC 2.000% due 06/15/28 T+52bp (G52; $94.8) - $350M pxd May 2021
-ADC 4.800% due 10/01/32 T+51bp (G75; $101.1) - $300M pxd Aug 2022
-ADC 5.625% due 06/15/34 T+86bp (G97; $104.6) - $450M pxd May 2024
-ADC 5.600% due 06/15/35 T+89bp (G92; $104.6) - $400M pxd 05/14/25 +117

Broadstone Net Lease Llc (Baa2/BBB/N/A)
-BNL 2.600% due 09/15/31 T+130bp (G122; $87.9) - $375M pxd Sep 2021
-BNL 5.000% due 11/01/32 T+114bp (G114; $99.8) - $350M pxd 09/23/25 +128

Essential Properties Lp (Baa2/BBB-/BBB)
-EPRT 5.400% due 12/01/35 T+127bp (G125; $100.3) - $400M pxd 08/18/25 +128

Vici Properties Lp (Baa3/BBB-/BBB-)
-VICI 4.750% due 04/01/28 T+70bp (G70; $101) - $400M pxd Mar 2025
-VICI 5.125% due 11/15/31 T+115bp (G107; $101.4) - $750M pxd Dec 2024
-VICI 5.750% due 04/01/34 T+112bp (G124; $103.6) - $550M pxd Mar 2024
-VICI 5.625% due 04/01/35 T+123bp (G128; $102.2) - $900M pxd Mar 2025

FINAL BOOKS:

$550m 5yr - $920m (1.67x) - PEAK $1.300bn

[HOWMET AEROSPACE]

Howmet Aerospace Inc (HWM) exp Baa1/BBB+/BBB+ (s/s/s) US$500m (no grow) SEC registered 7y sr notes due 11/15/32. MWC then 2mos par call. 101 CoC. Denoms: 2,000 x 1,000. Sale into Canada: Yes - Exemption. UOP: We intend to use the net proceeds from this offering, together with cash on hand, for the redemption of all of the outstanding principal amount of approximately $625 million of our 5.90% Notes due 2027 (the “2027 Notes”). The net proceeds may be temporarily invested prior to use. Pricing 11/3. Settle 11/12 (T+6). CUSIP: 443201AD0. ISIN: US443201AD04.

    VIA GS/JPM (B&D)/MS joint active books.

    Announced as $500m WNG, we heard initial thoughts as T+95a.

    The deal went straight to launch - $500m at T+65bp.

     PRICED: $500m 4.55% 11/15/32 99.958 4.557% T+65.

     As for r/v, outstanding HWM was quoted as follows:

     HWM 4.850% due 10/15/31 T+57bp (G50; $102.87) - $500m pxd AUG 2024

    With f/v for a 5yr at T+50bp, adding in 20bp for 5s/10s would put a 10yr at T+70bp; Minus 10bp 7s/10s = T+60bp.  At the T+65bp pricing level, CONCESSION IS 5BP.  

    Comps away:

    Northrop Grumman (A3/BBB+/BBB+)
  - NOC 5.250% due 07/15/35 T+67bp (G70; $103.52) - $500m pxd 5/27/25 +85

    (Some felt a new NOC deal would price at T+73; minus 10bp for 7/s10s T+63bp.  HWM a smidge back)

FINAL BOOKS:

$500m 7yr - $1.900bn (3.80x) - PEAK $3.000bn

[LINCOLN NATIONAL] 

Lincoln National Corp (LNC) exp Baa2/BBB+/BBB+ (s/s/s) US$500m (up from $400m) SEC registered 10y sr notes due 11/15/35. MWC then 3mos par call. Denoms: 2,000 x 1,000. Sale into Canada: Yes - Exemption. UOP: to fund the repayment of the Issuer’s 3.625% Senior Notes due 2026, of which $400 million aggregate principal amount is outstanding, at or prior to their maturity, and the remainder, if any, for general corporate purposes, which may include the repayment of other debt on or prior to its maturity. Pricing 11/3. Settle 11/10 (T+5). CUSIP: 534187BZ1. ISIN: US534187BZ19. 

VIA BofA/GS (B&D)/HSBC/PNC/WFS joint active books.

Announced with $400m size, we heard initial price thoughts as T+150 area.

Went straight to launch at $500m 10y at T+125.

Ultimately, a $500m deal priced as follows:

$500m 5.35% 11/15/35 99.922 5.360% T+125. MW+20.

As for r/v, outstanding LNCwas quoted as follows:

-LNC 5.852% due 03/15/34 T+105bp (G117; $104.668) - $350M pxd Mar 2024

** outstanding LNC Mar 34s G117; plus 4bp for curve = T+121bp f/v. At the T+125bp pricing level, CONCESSION IS 4BP.

Prudential Financial Inc (A3/A/A-)
-PRU 5.200% due 03/14/35 T+74bp (G79; $102.678) - $750M pxd Mar 2025

Metlife Inc (A3/A-/A-)
-MET 5.375% due 07/15/33 T+45bp (G62; $105.218) - $100M pxd Jul 2023
-MET 5.300% due 12/15/34 T+65bp (G72; $104.007) - $750M pxd Jun 2024

Principal Financial Group (Baa1/A-/A-)
-PFG 5.375% due 03/15/33 T+64bp (G84; $103.851) - $400M pxd Mar 2023

Athora Holding Ltd (N/A/N/A/BBB- *+)
-ATHORA 5.875% due 09/10/34 T+119bp (G133; $103.812) - $750M pxd Jun 2024

Equitable Holdings Inc (Baa1/A-/N/A)
-EQH 5.594% due 01/11/33 T+69bp (G90; $104.738) - $500M pxd Jan 2023

Corebridge Financial Inc (Baa2/BBB+/BBB+)
-CRBG 5.750% due 01/15/34 T+95bp (G108; $104.593) - $750M pxd Dec 2023

FINAL BOOKS:

$500m 10yr - $1.450bn (2.90x) - PEAK $2.200bn

[MID-AMERICA APARTMENTS LP] 

Mid-America Apartments LP “MAA” (A3/A-/A- s/s/s) US$400m SEC registered long 7y sr notes due 1/15/33. MWC then 2mos par call. Denoms: 2,000 x 1,000. Sale into Canada: No. UOP: MAA intends to use net proceeds to repay all or a portion of the borrowings outstanding under its $750 million unsecured commercial paper program, and any remaining net proceeds will be used for general corporate purposes, which may include, without limitation, the repayment of other debt and the acquisition, development and redevelopment of apartment communities. Pricing 11/3. Settle 11/10 0(T+5). CUSIP: 59523UAY3. ISIN: US59523UAY38.

VIA Citi/JPM (B&D)/PNC/TD/WFS joint active books. 

Announced with $400m size, we heard initial thoughts as T+100 area.

Went straight to launch at $400m L7y at T+85.

Ultimately, a $400m deal priced as follows:

$400m 4.65% 1/15/33 99.354 4.755% T+85. MW+15.

As for r/v, outstanding MAA was quoted as follows:

-MAA 2.750% due 03/15/30 T+49bp (G52; $94.22) - $300m pxd NOV 2019
-MAA 1.700% due 02/15/31 T+69bp (G66; $87.34) - $450m pxd AUG 2020
-MAA 5.300% due 02/15/32 T+67bp (G74; $103.81) - $400m pxd MAY 2024
-MAA 5.000% due 03/15/34 T+72bp (G84; $101.11) - $350m pxd JAN 2024
-MAA 4.950% due 03/01/35 T+75bp (G80; $100.61) - $350m pxd DEC 2024

*** Feb ‘32 G74, add 3bp for ‘32/’33 curve gets f/v to T+77bp. At the T+85bp pricing level, CONCESSION IS 8BP.

COMPS AWAY:

AvalonBay Communities Inc (A3/A-)
-AVB 5.300% due 12/07/33 T+56bp (G71; $104.06) - $400m pxd DEC 2023
-AVB 5.000% due 08/01/35 T+80bp (G82; $100.65) - $400m pxd 06/30/25 +85

EQR Operating LP (A3/A-)
-EQR 4.950% due 06/15/32 T+65bp (G69; $102.16) - $500m pxd 05/01/25 +98
-EQR 4.650% due 09/15/34 T+70bp (G76; $98.83) - $600m pxd SEPT 2024

FINAL BOOK:

$400m L7yr - $675m (1.69x) - PEAK $850m

[MIDAMERICAN ENERGY CO] 

MidAmerican Energy Co (BRKHEC) exp Aa2/A (s/s) SEC registered US$400M (WNG) 31 yr FMB due 11/15/56. MWC then 6 mos par call. UoP: general corporate purposes, which may include additions to working capital, reduction of indebtedness, refinancing of existing securities and financing of capital expenditures. Denoms: 2,000 x 1,000. Sale into Canada: Yes - Exemption. Sale into HK/Mainland: No – All Solicitations Prohibited. Pricing 11/3. Settle 11/5 (T+2).  CUSIP: 595620BA2. ISIN: US595620BA22.

VIA BMO/CIBC/SMBC(B&D)/TSI/USB joint active books. 

Announced as $400m no grow, we heard initial price thoughts as  T+105 area.

Went straight to launch at T+85.

Ultimately, a $400m deal priced as follows:

$400m 5.50% 11/15/56 99.232 5.552% T+85. MW+15.

 As for r/v, outstanding MidAmerican Energy Co was quoted as follows:

-BRKHEC 5.350% due 01/15/34 T+56bp (G69; $104.68) - $350M pxd Sep 2023

-BRKHEC 5.300% due 02/01/55 T+78bp ($98.14) - $600M pxd Jan 2024

** Outstanding Feb 55s T+78bp; some added 5bp for the Feb ‘55/Nov ’56 curve, while we typically add less (0-1bp). Going in the middle and call curve 3bp, f/v is T+81bp. At the T+85bp pricing level, CONCESSION IS 4BP.

Other BRKHEC comps away:

Nevada Power Co (A2/A)
-BRKHEC 6.000% due 03/15/54 T+101bp ($104.74) - $500M pxd Sep 2023 

Sierra Pacific Power Co (A3/A)
-BRKHEC 5.900% due 03/15/54 T+104bp ($102.95) - $399.55M exch. May 2024

Pacificorp (A3/A-)

-BRKHEC 5.800% due 01/15/55 T+128bp ($98.23) - $1.5B pxd Jan 2024

Berkshire Hathaway Energy Co (A3/A-)

-BRKHEC 4.600% due 05/01/53 T+88bp ($86.97) - $980M exch. Jan 2023

Comps away:

Florida Power & Light Co (Aa2/A+)
-NEE 5.700% due 03/15/55 T+75bp ($104.37) - $950M pxd Feb 2025

Duke Energy Progress LLC (Aa3/A)
-DUK 5.550% due 03/15/55 T+80bp ($101.48) - $750M pxd Mar 2025

Duke Energy Indiana LLC (Aa3/A)
-DUK 5.900% due 05/15/55 T+87bp ($105.51) - $300M pxd May 2025

Peco Energy Co (Aa3/A)
-EXC 5.650% due 09/15/55 T+75bp ($103.69) - $525M pxd 09/03/25 +75

Northern States Power Co (Aa3/A)
-XEL 5.650% due 05/15/55 T+74bp ($103.83) - $500M pxd Apr 2025

Ameren Illinois Co (A1/A)
-AEE 5.625% due 03/01/55 T+78bp ($102.86) - $700M pxd Feb 2024

Union Electric Co (A2/A)
-AEE 5.125% due 03/15/55 T+83bp ($94.88) - $M pxd Jan 1900

PPL Electric Utilities Corp (A1/A+)
-PPL 5.550% due 08/15/55 T+77bp ($101.93) - $500M pxd 08/06/25 +77

Kentucky Utilities Co (A1/A)
-PPL 5.850% due 08/15/55 T+91bp ($104.2) - $700M pxd 8/4/25 +105

Louisville Gas And Electric Co (A1/A)
-PPL 5.850% due 08/15/55 T+94bp ($103.76) - $700M pxd 8/4/25 +105

Entergy Louisiana LLC (A2/A)
-ETR 5.800% due 03/15/55 T+90bp ($103.61) - $750M pxd May 2022

Entergy Mississippi LLC (A2/A)
-ETR 5.800% due 04/15/55 T+90bp ($103.62) - $600M pxd Mar 2025

FINAL BOOKS:

$400m 31yr FMB - $900m (2.25x) - PEAK $1.650bn

[BOKF NA] 

BOKF NA (BOKF), exp BBB+/A- (s/s) by S&P/Fitch, US$400m (up from $300m) 3(a)2 exempt 15nc10 fixed rate reset sub notes due 11/6/40. Reset Date: 11/6/35. Interest rate: (i) from, and including, the date of original issuance to, but excluding, the Reset Date, at a rate of [ • ]% per annum and (ii) from, and including, the Reset Date to, but excluding, the maturity date, at a rate per annum equal to the Five-Year U.S. Treasury Rate (as defined under “Description of Notes”) as of the Reset Determination Date (as defined under “Description of Notes”) plus [ • ]%. Optional Redemption: (i) in whole, but not in part, on any day in the period commencing on (and including) August [8], 2035 (the date that is three months prior to the Reset Date) and ending on November [6], 2035 (and including) the Reset Date, (ii) in whole or in part, at any time and from time to time, on or after May [10], 2040 (the date that is six months prior to the maturity date), or (iii) in whole, but not in part, at any time within 90 days following a Regulatory Capital Treatment Event. Denoms: 250,000 x 1,000. Sale into Canada: Yes - Exemption. UOP: gcp. Pricing 11/3. Settle 11/6 (T+3). CUSIP: 05572YHP0. ISIN: US05572YHP07.

VIA MS (B&D)/BOKF/RBC joint books. 

Announced with $300m size, we heard initial thought as T+225 area.

Went straight to launch at $400m 15nc10 at T+200.

Ultimately, a $400m deal priced as follows:

$400m 6.108% 11/6/40 100.00 6.108% T+200 (Back-end reset: UST5+200).

As for r/v, this is BOKF’s debut sub notes issuance, thus CONCESSION N/A.

First Citizens Bancshares Inc (Baa2/BBB-)
-FCNCA 5.600% due 09/05/35 nc30 T+196bp (G197; $99.65) - $600m pxd 09/02/25 +185
-FCNCA 6.254% due 03/12/40 nc12/12/34 T+191bp (G195; $101.59) - $750m pxd MAR 2025

COMPS AWAY:

Huntington Bancshares (Baa1/BBB/BBB+)
-HABN 6.141% due 11/18/39 nc 08/18/34 T+150bp (G157; $103.62) - $600m pxd NOV 2024

Zions Bancorp (NR/BBB/BBB)
-ZIONS 6.816% due 11/19/35 nc 08/19/34 T+181bp (G188; $106.04) - $500m pxd NOV 2024

Webster Financial Corp (Baa2/BBB-)
-WBS 5.784% due 09/11/35 nc30 T+210bp (G211; $99.82) - $350m pxd 09/04/25 +212.5

FINAL BOOK:

$400m 15nc10 Sub - $1.000bn (2.50x) - PEAK $1.200bn

[M&A TODAY]

Kimberly Clark Corp "KMB" (A2/A) entered an agreement to acquire Kenvue Inc "KVUE" (A1/A) in a cash on stock deal giving Kenvue an enterprise value of $48.7bn. Kenuve shareholders will receive 0.14625 in KMB shares plus $3.50 in cash per KVUE share valuing KVUE at $21.01 per share (based on 10/31 prices). At closing, Kimberly Clark will own approximately 54% of the combined company with Kevnue shareholders owning around 46%.

Kimberly Clark plans on funding the cash portion with cash on hand, proceeds from its 51% sale of "IFP" business to Suzano for $1.7bn, and new debt issuance in which KMB has obtained a $7.7bn bridge facility with JPM. KMB last issued a $350m deal in February 2023; their largest deal on record is $2.1bn in July 2007.

The transaction is expected to close by Q4 2026.

Eaton Corp "ETN" (A3/A-) entered an agreement to acquire the Boyd Thermal business of Boyd Corp from Goldman Sachs for $9.5bn.

Eaton did not disclose how they will fund the purchase price. They had approximatley $600m in cash equivalents as of 6/30 and last issued a $500m deal in May 2025. Eaton last issued an M&A deal in November 2012 of $4.9bn for their $12.8bn acquisition of Cooper Industries.

The transaction is expected to close by Q2 2026.

[NEW MANDATES & MARKETING]

– AviLease (Aircraft Leasing Company), a global aircraft lessor (100% owned by the Public Investment Fund), rated Baa2 (Stable) by Moody’s and BBB (Stable) by Fitch, with a robust platform of ~190 owned and managed aircraft, currently on lease to 48 airlines worldwide, has mandated Citi and MUFG as Joint Global Coordinators, Joint Active Bookrunners and Joint Lead Managers together with Abu Dhabi Commercial Bank, BNP Paribas, First Abu Dhabi Bank, HSBC and Mizuho as Joint Active Bookrunners and Joint Lead Managers, to arrange global investor calls, and a series of virtual fixed income investor calls to be held on Monday, 3rd November 2025 and Tuesday, 4th November 2025.

A benchmark U.S. dollar-denominated Rule 144A/Regulation S senior unsecured 5-year bond will follow, subject to market conditions. The notes are expected to be rated Baa2 by Moody’s and BBB by Fitch.

Al Ahli Bank of Kuwait DIFC, BSF Capital, Credit Agricole CIB, Emirates NBD Capital, GIB Capital, J.P. Morgan, Morgan Stanley, Natixis, Riyad Capital and SNB Capital are also acting as Joint Passive Bookrunners and Joint Lead Managers.

MUFG is logistics

AviLease will be represented by:

Ted O’Byrne - Chief Executive Officer

Brendan O’Neill - Chief Financial Officer

Keith Downey - Head of Investor Relations

– Highwoods Properties, Inc. (the “Company” or “HIW”) has requested that Wells Fargo Securities, BofA Securities, J.P. Morgan, PNC Capital Markets LLC, Truist Securities and US Bancorp arrange a series of fixed income investor calls for the Company on Monday, November 3rd, 2025. The calls will be focused on Q&A (no presentation), and Wells Fargo Securities will coordinate logistics.

**Call Schedule**

Monday, November 3rd, 2025

1:00 PM – 1:45 PM ET | Registration Link: https://evercall.co/oacc/61205

2:00 PM – 2:45 PM ET | Registration Link: https://evercall.co/oacc/28063

3:00 PM – 3:45 PM ET | Registration Link: https://evercall.co/oacc/83317

Company Participants

Ted Klinck: President, Chief Executive Officer & Director

Brendan Maiorana: Executive Vice President & Chief Financial Officer

Jeff Miller: Executive Vice President, General Counsel & Secretary

Ryan Para: Assistant Treasurer

About HIW

Highwoods Properties, Inc. (the “Company”) is a fully integrated office real estate investment trust (“REIT”) that owns, develops, acquires, leases and manages properties primarily in the best business districts of Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond and Tampa. The Company conducts its activities through Highwoods Realty Limited Partnership (the “Operating Partnership”). As of September 30, 2025, the Company owned or had an interest in 27.2 million rentable square feet of in-service properties, 1.4 million rentable square feet of office properties under development and development land with approximately 4.2 million rentable square feet of potential office build out.

– Mattel, Inc. (“Mattel” or the “Company”), rated Baa3 (stable) by Moody’s, BBB (stable) by S&P, and BBB- (stable) by Fitch*, has mandated BofA Securities, Citigroup, Goldman Sachs & Co. LLC, and Wells Fargo Securities to arrange a series of fixed income investor calls on Monday, November 3, 2025. An electronic presentation with a voiceover recording has been made available. BofA Securities is coordinating logistics. An SEC-registered, USD-denominated, senior unsecured transaction may follow, subject to market conditions.

Company Participants

• Paul Ruh: Chief Financial Officer
• Mandana Sadigh: Senior Vice President and Treasurer

Investor Call Schedule for Monday, November 3rd

• Call #1: 12:00pm-12:45pm ET | Pre-Registration Link: https://www.netroadshow.com/events/login/LE9zwo4C82KsiAi3jBnbI8OTycPCiEclgpE
• Call #2: 1:00pm-1:45pm ET | Pre-Registration Link: https://www.netroadshow.com/events/login/LE9zwo3gDPfHwX5PZoZ9ahIjipRxpTfGeBs
• Call #3: 2:00pm-2:45pm ET | Pre-Registration Link: https://www.netroadshow.com/events/login/LE9zwo3gmndwbTSuXyydbl75UeB5v2XvvZB

NetRoadshow details:

URL: www.netroadshow.com

Entry Code: Entertain87

Direct Link: www.netroadshow.com/nrs/home/#!/?show=96871cdb

About Mattel, Inc.

Mattel, Inc. is a leading global toy and family entertainment company and owner of one of the most iconic brand portfolios in the world. Mattel engages consumers and fans through its franchise brands, including Barbie, Hot Wheels, Fisher-Price, American Girl, Thomas & Friends, UNO, Masters of the Universe, Matchbox, Monster High, Polly Pocket, and Barney. Since its founding in 1945, Mattel is proud to be a trusted partner in empowering generations to explore the wonder of childhood and reach their full potential.

– Polaris Inc. ("PII" or the “Company”), rated Baa3 (Negative) / BBB- (Negative) / BBB- (Negative) by Moody’s, S&P, and Fitch, respectively, has requested that BofA Securities, Wells Fargo Securities, MUFG and US Bancorp arrange a series of fixed income update calls today, Monday, November 3rd, 2025. An electronic presentation with a voiceover recording has been made available. Wells Fargo Securities is coordinating logistics.

A senior unsecured bond transaction may follow, subject to market conditions.

The Company will be represented by:

Robert P. Mack - Chief Financial Officer and Executive Vice President of Finance and Corporate Development
John Springer - Vice President of Tax and Treasury
Eric Frankberg - Director and Assistant Treasurer
JC Weigelt - Vice President of Investor Relations

Call Schedule:

Monday, November 3rd from:

• 12:00 PM ET (Registration Link: https://evercall.co/oacc/40081)
• 1:00 PM ET (Registration Link: https://evercall.co/oacc/11848)
• 2:00 PM ET (Registration Link: https://evercall.co/oacc/57195)

Roadshow details:

URL: https://dealroadshow.com

Entry Code: POLARIS2025

Direct Link: https://dealroadshow.com/e/POLARIS2025

About Polaris Inc.:
Polaris Inc. (the “Company”) is a global industry leader in powersports, designing, engineering and manufacturing off-road, on-road and marine products. The Company’s portfolio includes powersports vehicles such as pontoons, snowmobiles and motorcycles.

– Santos Finance Limited (BBG ticker: STOAU) (the “Issuer”), a subsidiary of Santos Limited (the “Guarantor”); rated Baa3 (Stable) by Moody’s, BBB- (Stable) by S&P, and BBB (Stable) by Fitch, has mandated Citi, Deutsche Bank, Mizuho and RBC Capital Markets to arrange a series of fixed income investor meetings across Asia, Europe and the US, commencing on 3 November 2025. A USD Rule 144A/Reg S senior unsecured 10-year benchmark offering may follow, subject to market conditions. The notes are expected to be rated Baa3 by Moody’s, BBB- by S&P and BBB by Fitch and will be fully and unconditionally guaranteed by the Guarantor. Any relevant stabilization regulations including FCA and ICMA will apply.

Santos is a global energy company and is an important provider of domestic gas in Australia and LNG to the Asia-Pacific region.

Santos will be represented by:

Lachlan Harris, Acting Chief Financial Officer

David Fotheringham, Treasurer

A NetRoadshow presentation will be made available – link as follows:

• Direct Link: www.netroadshow.com/nrs/home/#!/?show=3deb66e2

• Or visit: www.netroadshow.com and enter the deal entry code: STO2025 (not case-sensitive)

Investor Marketing Schedule commencing on Monday 3 November 2025:

Monday 3 November 2025

APAC Investor Meeting Schedule (Virtual)

• Meeting 1: 01:30pm-02:15pm AEDT | 10:30am-11:15am HKT
  Registration Link: https://www.netroadshow.com/events/login/LE9zwo3i4hOKR3SDtcWTbSuyV9wbHshLU75
• Meeting 2: 02:30pm-03:15pm AEDT | 11:30am-12:15pm HKT

Registration Link: https://www.netroadshow.com/events/login/LE9zwo3kKFOC1zwUWxSrVmNcKezkL5Vq5Pc

Monday 3 November 2025

• U.S. / European Meeting Schedule (Virtual):
• Meeting 3: 11:00am-11:45am EST | 08:00am-08:45am PST | 04:00pm-04:45pm UKT
  Registration Link: https://www.netroadshow.com/events/login/LE9zwo4BXedfmoPm4YLrKhtWY874jDEXsnB
• Meeting 4: 12:00pm-12:45pm EST | 09:00am-09:45am PST | 05:00pm-05:45pm UKT

Registration Link:

https://www.netroadshow.com/events/login/LE9zwo3gCrrulcZvB0LvjMNat99CP5FKZqS

• Meeting 5: 02:00pm-02:45pm EST | 11:00am-11:45am PST
  Registration Link:
  https://www.netroadshow.com/events/login/LE9zwo3iYGGRKc3Y5k9KbirA9Hcd9jxe1yL
• Meeting 6: 03:00pm-03:45pm EST | 12:00pm-12:45pm PST

Registration Link:

https://www.netroadshow.com/events/login/LE9zwo4C0jZXaeMUYfxBLfy1QxsmArPYfTf

Meeting 7: 09:00pm-09:45pm EST | 06:00pm-06:45pm PST | 10:00am-10:45am HKT

Registration Link:

https://www.netroadshow.com/events/login/LE9zwo3gnejEA90KeB4WONzW8CetUNRtcZ8

Meeting 8: 10:00pm-10:45pm EST | 07:00pm-07:45pm PST | 11:00am-11:45am HKT

Registration Link: https://www.netroadshow.com/events/login/LE9zwo49flcrKtfneTmkA38eNSIkQ5utD9g

Tuesday 4 November 2025

• New York Meeting Schedule (Physical):
• • 09:00am-10:00am EST
  • 10:30am-11:30am EST
  • 01:30pm-02:30pm EST
  • 03:00pm-04:00pm EST

Deutsche Bank will be coordinating logistics.

– Westlake Corporation (the “Company” or “Westlake”) (Ticker: WLK), rated Baa2 (Stable), BBB+ (Negative), BBB (Stable) by Moody’s, S&P, and Fitch, respectively, has asked BofA Securities, Deutsche Bank Securities, J.P. Morgan, and Wells Fargo Securities to organize a series of fixed income investor calls, to be held today, Monday, November 3rd. An electronic roadshow presentation will be made available.

J.P. Morgan is coordinating logistics.

The Company will be represented by:

Steven Bender, Executive Vice President and Chief Financial Officer

Jeffrey Holy, Vice President, Chief Accounting Officer

Call Schedule:

12:00PM – 12:45PM ET

1:00PM – 1:45PM ET

2:00PM – 2:45PM ET

Roadshow Presentation Details:

Roadshow Link: https://dealroadshow.com

Roadshow Password: WLK2025

Company Overview:

Westlake Corporation is a vertically integrated global manufacturer and marketer of performance and essential materials and housing and infrastructure products. Westlake operates in two principal operating segments, Performance and Essential Materials and Housing and Infrastructure Products.

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