Orica taps US insurers

Orica Ltd early last week completed the placement of US$600 million of 10-, 12-, 15- and 20-year notes with margins ranging from 170 basis points to 205 bps over US Treasuries. The firm began sounding out investors a month ago.

The 10-year US$335 million tranche carries a coupon of 4.53 per cent, the US$80 million 12-year tranche has a coupon of 4.63 per cent, the US$85 million 15-year tranche a coupon of 4.88 per cent, and the 20-year US$100 million tranche a 5.90 per cent coupon, Orica said.

Orica has a BBB+ rating from S&P.

Seven borrowers, including Orica, have sold US$2.2 billion of debt so far this year in the US private placement market, Reuters reported.