Equitable Financial Life Global Funding sold its first funding agreement-backed euro deal on Thursday as Macif gave an update on its upcoming multi-tranche subordinated trade.
Equitable’s bond, expected A2/A+ by Moody’s/S&P, is its first euro off an FA-backed note programme established in June 2020 and follows a series of US dollar outings in the format.
The US insurer was following in the footsteps of compatriots MetLife, New York Life, and Athene, which have all offered FA-backed euros to diversify from home-currency funding.
Leads Credit Suisse, JP Morgan and Societe Generale marketed the seven-year at IPTs of swaps plus 85bp area for an expected €500m size.
Guidance followed at 75bp area with the size confirmed at €500m on the back of more than €675m of orders.
With the book falling slightly to €650m-plus, the spread was set in line at 75bp.
Bankers said the modest demand reflected FA-backed trades still being seen as a relatively niche product in Europe, and that as a debut issuer, Equitable would...read more...