HG bonds: Société Générale completes $5B offering in 5 parts; terms

Société Générale SA on Jan. 11 completed a $5 billion offering of notes, across four tranches of callable senior non-preferred notes maturing 2026, 2028, and 2033, and an issue of 21-year (non-call 20) Tier 2 notes.

In early secondary trade this morning, the 2.797% six-year (non-call five) senior non-preferred notes traded at T+125-131, for a weighted average at T+128, which compares with a T+130 spread at pricing, according to MarketAxess. The 3.337% 11-year (non-call 10) senior non-preferred notes traded at a weighted average in line with the T+160 pricing level.

The 4.027% 21-year (non-call 20) Tier 2 tranche changed hands this morning at a weighted average at T+187, versus pricing at T+190.

Issuer credit ratings for the bank are A/A1/A-, reflecting stable outlooks on all sides. The bank completed $3.5 billion of benchmark bond pricings on the U.S. markets last year, versus the $6 billion it placed in 2020, according to LCD.

Among the 2021 placements, the issuer last June completed a $2.5 billion offering of senior non-preferred notes, at lower costs, including 1.792% six-year (non-call five) notes due June 9, 2027 at T+100, and 2.889% 11-year (non-call 10) notes at T+130.

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