Hilton Worldwide’s upsized $1 billion offering of eight-year (non-call three) notes priced this afternoon at par, and at the low end of talk, for a yield of 4.25%. Bank of America Merrill Lynch was lead bookrunner for the 144A notes, and shopped the offering with joint bookrunners Deutsche Bank, Goldman Sachs, J.P. Morgan, Morgan Stanley, and Wells Fargo Securities. Hilton has said that the proceeds will be used for the partial repayment of the company’s existing debt. Terms:
| Issuer | Hilton Worldwide |
| Ratings | BB+/Ba3 |
| Amount | $1 billion |
| Issue | senior notes (144A) |
| Coupon | 4.25% |
| Price | 100% |
| Yield | 4.25% |
| Spread | T+277 bps |
| Maturity | Sept. 1, 2024 |
| Call | non-call three |
| Trade | Aug. 8, 2016 |
| Settle | Aug. 18, 2016 |
| Bookrunners | BAML/DB/GS/JPM/MS/WFS |
| Joint Leads | |
| Co-Managers | |
| Price talk | 4.375% area |
| Notes | first call at par plus 50% coupon; 40% equity claw; upsized from $750 million. |
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