Mischler Financial Group, Inc. our nation’s oldest Service Disabled veteran broker-dealer was honored with Active Co-Manager role on today’s $500mm Metropolitan Life Global Funding I 5-year 144a/Reg S Sustainable FA-backed Notes transaction due 6/30/2027. The transaction was upsized at the launch to $500mm from $400mm at the launch and after skipping guidance 20 bps tighter than IPTs. Demand was very healthy building a final order book of $1.25b making the deal 2.50-times oversubscribed for this higher rated issuer and sector with proceeds from its sale allocated to existing Green or Social assets within MET’s Sustainability Financing Framework.
Recently, relative value remains more art than science in this volatile market. Today’s fair value methodologies derived NICs ranging anywhere from 10 to 20 bps across today’s IG Corporate visitors with the lone exception being the 7 bps concession on the MET 5yr Sustainable FABNs. Certainly the slimmest of today’s 8 IG Corporate tranches in a session where the average concession was +12.87 bps. Looking at the MET 1/2027 (T+93) and accounting for the low $91 I added 10 bps for the curve and 5 bps for the ESG-centric nature of the issuance getting us to T+108 vs. T+115 final pricing of today’s deal for a +7 bp NIC
