Bloomberg News

Toyota’s U.S. Finance Unit Issues $1.5 Billion Three-Year Bonds

July 16, 2012

Toyota Motor Corp. (7203), the maker of the world’s best-selling gasoline-electric vehicle, sold $1.5 billion of three-year dollar-denominated bonds.

Toyota Motor Credit Corp issued the 0.875 percent notes to yield 58 basis points more than similar-maturity Treasuries, according to data compiled by Bloomberg. That compares with a 1 percent coupon, or a spread of 67 basis points more than benchmarks, on $1.25 billion of three-year debentures the company sold in February.

The new debt may be rated Aa3, the fourth-highest investment-grade level, by Moody’s Investors Service, according to a person familiar with the transaction who asked not to be identified because the terms are private.

The maker of the Prius last sold dollar-denominated, fixed- rate debt in May, issuing $1 billion of 1.75 percent, five-year securities at a relative yield of 110 basis points, Bloomberg data show.

Citigroup Inc., BNP Paribas SA, Deutsche Bank AG and JPMorgan Chase & Co. managed today’s sale, the data show.

To contact the reporter on this story: Sarika Gangar in New York at

To contact the editor responsible for this story: Alan Goldstein at

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