Bloomberg News

Texas Instruments Raises $1 Billion With Two-Part Bond Offering

May 01, 2013

Texas Instruments Inc. (TXN:US), one of four companies to have sold three-year debt at a record-low 0.45 percent coupon, borrowed $1 billion in a two-part offering.

The largest maker of analog semiconductors issued equal $500 million portions of 1 percent, five-year notes that pay 55 basis points more than similar-maturity Treasuries and 2.25 percent, 10-year bonds with a relative yield of 85, according to data compiled by Bloomberg. Proceeds from the sale will be used to repay debt including its $500 million of 0.875 percent notes maturing May 15, Dallas-based Texas Instruments said today in a regulatory filing.

Its $750 million of 1.65 percent bonds due 2019 traded at 100.3 cents on the dollar yesterday to yield 1.6 percent, or 49.7 basis points more than similar-maturity Treasuries, according to Trace, the bond-price reporting system of the Financial Industry Regulatory Authority.

The company sold its $750 million of three-year debt with the lowest coupon in July. That rate’s been matched by Apple Inc., Unilever NV (UNA) and Walt Disney Co., according to data compiled by Bloomberg.

To contact the reporter on this story: Charles Mead in New York at cmead11@bloomberg.net

To contact the editor responsible for this story: Alan Goldstein at agoldstein5@bloomberg.net


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Companies Mentioned

  • TXN
    (Texas Instruments Inc)
    • $47.92 USD
    • 0.33
    • 0.69%
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