Commentary & Deal Flow

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 (10/5/28), 1mo on 5y (10/5/30), 2mos on 7y (9/5/32), 3mos on 10y (8/5/35), 6mos on 20y (5/5/45) and 6mos on 30y (5/5/55). Tax changes call on all tranches. Barc/BofA/HSBC/JPM (B&D) joint active books. Passive: BNP/DB/SG. Co-mgrs: Citi, Miz. 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.

IPTs: 3y T+55 area and SOFR equiv, 5y T+70 area, 7y T+75 area, 10y T+80 area, 20y T+80 area, 30y T+90 area.
GUIDANCE: 3y FRN SOFR+52#, 3y FXD T+30#, 5y T+45#, 7y T+50#, 10y T+55#, 20y T+55#, 30y T+65#.
LAUNCHED: $800m 3y FRN at SOFR+52, $700m 3y FXD at T+30, $1.75bn 5y at T+45, $925m 7y at T+50, $925m 10y at T+55, $350m 20y at T+55, $550m 30y at T+65.

PRICED:
$800m 11/5/28 FRN at SOFR+52, at 100.
$700m 3.90% 11/5/28 99.978 3.908% T+30. MW+5.
$1.75bn 4.10% 11/5/30 99.700 4.167% T+45. MW+7.5.
$925m 4.30% 11/5/32 99.409 4.399% T+50. MW+7.5.
$925m 4.60% 11/5/35 99.564 4.655% T+55. MW+10.
$350m 5.20% 11/5/45 99.889 5.209% T+55. MW+10.
$550m 5.30% 11/5/55 99.464 5.336% T+65. MW+10.