• Welcome to TechPowerUp Forums, Guest! Please check out our forum guidelines for info related to our community.

Intel Announces Pricing of Senior Notes Offering

btarunr

Editor & Senior Moderator
Staff member
Joined
Oct 9, 2007
Messages
46,277 (7.69/day)
Location
Hyderabad, India
System Name RBMK-1000
Processor AMD Ryzen 7 5700G
Motherboard ASUS ROG Strix B450-E Gaming
Cooling DeepCool Gammax L240 V2
Memory 2x 8GB G.Skill Sniper X
Video Card(s) Palit GeForce RTX 2080 SUPER GameRock
Storage Western Digital Black NVMe 512GB
Display(s) BenQ 1440p 60 Hz 27-inch
Case Corsair Carbide 100R
Audio Device(s) ASUS SupremeFX S1220A
Power Supply Cooler Master MWE Gold 650W
Mouse ASUS ROG Strix Impact
Keyboard Gamdias Hermes E2
Software Windows 11 Pro
Intel Corporation today announced the pricing of four series of senior unsecured notes for an aggregate principal amount of $6.0 billion pursuant to an effective shelf registration statement previously filed with the Securities and Exchange Commission.

Of these notes, $3.0 billion will mature on Dec. 15, 2017 and will bear interest at an annual rate of 1.35%, $1.5 billion will mature on Dec. 15, 2022 and will bear interest at an annual rate of 2.70%, $750 million will mature on Dec. 15, 2032 and will bear interest at an annual rate of 4.0%, and $750 million will mature on Dec. 15, 2042 and will bear interest at an annual rate of 4.25%. The notes were offered to the public at a price of 99.894% of par in the case of the 2017 notes, 99.573% of par in the case of the 2022 notes, 99.115% of par in the case of the 2032 notes and 99.747% of par in the case of the 2042 notes. The offering is expected to close on Dec. 11, 2012, subject to customary closing conditions.

Intel intends to use the net proceeds from the offering for general corporate purposes and to repurchase shares of its common stock under the company's existing share repurchase authorization.

J.P. Morgan Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated are acting as joint book-running managers for the offering.

This news release shall not constitute an offer to sell or a solicitation of an offer to buy any securities, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. The offering of securities may be made only by means of a prospectus supplement and accompanying prospectus. Copies of the prospectus supplement and the accompanying prospectus can be obtained from:
  • J.P. Morgan Securities LLC
    383 Madison Avenue, 3rd Floor New York, New York 10179
    Attention: High Grade Syndicate Desk
    Call collect: 1-212-834-4533
  • Merrill Lynch, Pierce, Fenner & Smith
    Incorporated 222 Broadway, 11th Floor New York, New York 10038
    Attention: Prospectus Department
    E-mail: dg.prospectus_requests@baml.com
    Toll-free: 1-800-294-1322

View at TechPowerUp Main Site
 
Last edited:

Fourstaff

Moderator
Staff member
Joined
Nov 29, 2009
Messages
10,020 (1.91/day)
Location
Home
System Name Orange! // ItchyHands
Processor 3570K // 10400F
Motherboard ASRock z77 Extreme4 // TUF Gaming B460M-Plus
Cooling Stock // Stock
Memory 2x4Gb 1600Mhz CL9 Corsair XMS3 // 2x8Gb 3200 Mhz XPG D41
Video Card(s) Sapphire Nitro+ RX 570 // Asus TUF RTX 2070
Storage Samsung 840 250Gb // SX8200 480GB
Display(s) LG 22EA53VQ // Philips 275M QHD
Case NZXT Phantom 410 Black/Orange // Tecware Forge M
Power Supply Corsair CXM500w // CM MWE 600w
Probably taking advantage of cheap credit right now, since that they are swimming with money.
 
Joined
May 22, 2010
Messages
2,516 (0.50/day)
Location
Canada
System Name m1dg3t | DeathBox | HairPi 3
Processor 3570k @ 4.0 1.15v BIOS | q9550 @ 3.77 1.325v BIOS
Motherboard Asrock z77e iTX | p5q Dlx 2301 BIOS
Cooling Custom Water | D-14 & HR-03gt | Passive HSF
Memory Samsung MV-3V4G3D 4g x 2 @ 1866 1.35v | OcZ RpR 2g x 4 @ 1067 2.2v
Video Card(s) MSi 7950 tf3 @1000 / 1350 | Asus 5870 V2 @ 900 / 1275
Storage Adata sx900 256Gb / WD 2500 HHTZ | WD 1001 FALS x 2
Display(s) BenQ gw2750hm | 46" Sharp Quatron
Case BitFenix Prodigy - m0dd3d | Antec Fusion Remote MAX
Audio Device(s) Onboard Toslink > Yamaha HTR 6290 | Xonar HDAV1.3 > Yamaha DSP z7
Power Supply Ocz mXp700w | Ocz zx850w | Cannakit 5v 2.5a
Mouse Logitech G700s | Logitech G9x - Cable Repaired
Keyboard TT Meka G1 - Black w Cherry Blacks| Logitech G11
Software Win7 Home | Xp sp3 & Vista ultimate | Raspbian
Benchmark Scores Epeen!! Who needs epeen??
Run! Run as fast as you can :eek:
 
Joined
Dec 16, 2010
Messages
1,662 (0.34/day)
Location
State College, PA, US
System Name My Surround PC
Processor AMD Ryzen 9 7950X3D
Motherboard ASUS STRIX X670E-F
Cooling Swiftech MCP35X / EK Quantum CPU / Alphacool GPU / XSPC 480mm w/ Corsair Fans
Memory 96GB (2 x 48 GB) G.Skill DDR5-6000 CL30
Video Card(s) MSI NVIDIA GeForce RTX 4090 Suprim X 24GB
Storage WD SN850 2TB, 2 x 512GB Samsung PM981a, 4 x 4TB HGST NAS HDD for Windows Storage Spaces
Display(s) 2 x Viotek GFI27QXA 27" 4K 120Hz + LG UH850 4K 60Hz + HMD
Case NZXT Source 530
Audio Device(s) Sony MDR-7506 / Logitech Z-5500 5.1
Power Supply Corsair RM1000x 1 kW
Mouse Patriot Viper V560
Keyboard Corsair K100
VR HMD HP Reverb G2
Software Windows 11 Pro x64
Benchmark Scores Mellanox ConnectX-3 10 Gb/s Fiber Network Card
The notes were offered to the public at a price of 99.894% of par in the case of the 2017 notes, 99.573% of par in the case of the 2022 notes, 99.115% of par in the case of the 2032 notes and 99.747% of par in the case of the 2042 notes.

I'm not an expert at finance, so could someone explain to me why the 2042 notes would cost more than the 2032 notes?
 

Fourstaff

Moderator
Staff member
Joined
Nov 29, 2009
Messages
10,020 (1.91/day)
Location
Home
System Name Orange! // ItchyHands
Processor 3570K // 10400F
Motherboard ASRock z77 Extreme4 // TUF Gaming B460M-Plus
Cooling Stock // Stock
Memory 2x4Gb 1600Mhz CL9 Corsair XMS3 // 2x8Gb 3200 Mhz XPG D41
Video Card(s) Sapphire Nitro+ RX 570 // Asus TUF RTX 2070
Storage Samsung 840 250Gb // SX8200 480GB
Display(s) LG 22EA53VQ // Philips 275M QHD
Case NZXT Phantom 410 Black/Orange // Tecware Forge M
Power Supply Corsair CXM500w // CM MWE 600w
I'm not an expert at finance, so could someone explain to me why the 2042 notes would cost more than the 2032 notes?

Because the chances of Intel going bust between now and 2042 is higher than between now and 2032.
 
Joined
Dec 16, 2010
Messages
1,662 (0.34/day)
Location
State College, PA, US
System Name My Surround PC
Processor AMD Ryzen 9 7950X3D
Motherboard ASUS STRIX X670E-F
Cooling Swiftech MCP35X / EK Quantum CPU / Alphacool GPU / XSPC 480mm w/ Corsair Fans
Memory 96GB (2 x 48 GB) G.Skill DDR5-6000 CL30
Video Card(s) MSI NVIDIA GeForce RTX 4090 Suprim X 24GB
Storage WD SN850 2TB, 2 x 512GB Samsung PM981a, 4 x 4TB HGST NAS HDD for Windows Storage Spaces
Display(s) 2 x Viotek GFI27QXA 27" 4K 120Hz + LG UH850 4K 60Hz + HMD
Case NZXT Source 530
Audio Device(s) Sony MDR-7506 / Logitech Z-5500 5.1
Power Supply Corsair RM1000x 1 kW
Mouse Patriot Viper V560
Keyboard Corsair K100
VR HMD HP Reverb G2
Software Windows 11 Pro x64
Benchmark Scores Mellanox ConnectX-3 10 Gb/s Fiber Network Card
Because the chances of Intel going bust between now and 2042 is higher than between now and 2032.

I think you have it confused - you would want the notes to be cheaper (for the same amount of money when matured) if there was more risk. But according to the original post the 2042 notes have a higher % of par than the 2032 notes. That means they're more expensive.
 

Fourstaff

Moderator
Staff member
Joined
Nov 29, 2009
Messages
10,020 (1.91/day)
Location
Home
System Name Orange! // ItchyHands
Processor 3570K // 10400F
Motherboard ASRock z77 Extreme4 // TUF Gaming B460M-Plus
Cooling Stock // Stock
Memory 2x4Gb 1600Mhz CL9 Corsair XMS3 // 2x8Gb 3200 Mhz XPG D41
Video Card(s) Sapphire Nitro+ RX 570 // Asus TUF RTX 2070
Storage Samsung 840 250Gb // SX8200 480GB
Display(s) LG 22EA53VQ // Philips 275M QHD
Case NZXT Phantom 410 Black/Orange // Tecware Forge M
Power Supply Corsair CXM500w // CM MWE 600w
I think you have it confused - you would want the notes to be cheaper (for the same amount of money when matured) if there was more risk. But according to the original post the 2042 notes have a higher % of par than the 2032 notes. That means they're more expensive.

Supply and demand, it appears that people are willing to trade 0.632% for extra 10 years of interest. Usually not the case, but it illustrates the hunger for investment grade long term interest in this convoluted world right now.
 
Top