Toyota’s $2.75 Billion Senior Notes Offering

Shearman & Sterling advised Toyota Motor Corporation, while Davis Polk advised the joint bookrunners and joint lead managers in the offering.

Toyota Motor Corporation executed its offering of senior notes, which consisted of $1.25 billion aggregate principal amount of 0.681% senior notes due 2024, $1 billion aggregate principal amount of 1.339% senior notes due 2026 and $500 million aggregate principal amount of 2.362% senior notes due 2031. The net proceeds of the notes will be allocated to new or existing Eligible Projects as defined under Toyota’s “Woven Planet Bond Framework (Sustainability Bond Framework).” This was Toyota’s inaugural U.S. dollar sustainability bond issuance.

J.P. Morgan Securities LLC, BofA Securities, Inc. and Citigroup Global Markets Inc. acted as joint bookrunners and joint lead managers for the offeirng.

Toyota is a leading global producer of automobiles based in Japan. The company sells its vehicles, which include the Toyota and Lexus brands, in approximately 190 countries and regions, with primary markets in Japan, North America, Europe and Asia. Toyota also provides related financial services to dealers and their customers through Toyota Motor Credit Corporation and Toyota Financial Services. Toyota originally commenced business in 1933 as the automobile division of Toyota Industries Corporation and became a separate company in 1937.

The Davis Polk corporate team included partner Jon Gray (Picture), counsel Christopher Kodama and associates Chihiro Sasaki and Alexander Coley. Counsel Alon Gurfinkel and associate Summer Xia provided tax advice.

Shearman & Sterling advised Toyota Motor Corporation with Masahisa Ikeda, Toshiro M. Mochizuki, Brandon Whittaker, Misa Azuma, Larry Crouch, Doreen E. Lilienfeld, Lorna Xin Chen, Kyungwon (Won) Lee, Reena Agrawal Sahni, Paula Howell Anderson, Austin Jones, Matthew Behrens, and Anil Motwani.

Involved fees earner: Alexander Coley – Davis Polk & Wardwell; Jon Gray – Davis Polk & Wardwell; Alon Gurfinkel – Davis Polk & Wardwell; Christopher Kodama – Davis Polk & Wardwell; Chihiro Sasaki – Davis Polk & Wardwell; Summer Xia – Davis Polk & Wardwell; Reena Agrawal Sahni – Shearman & Sterling; Misa Azuma – Shearman & Sterling; Matthew Behrens – Shearman & Sterling; Lorna Chen – Shearman & Sterling; Larry Crouch – Shearman & Sterling; Paula Howell Anderson – Shearman & Sterling; Masahisa Ikeda – Shearman & Sterling; Austin Jones – Shearman & Sterling; Kyungwon Lee – Shearman & Sterling; Doreen Lilienfeld – Shearman & Sterling; Toshiro Mochizuki – Shearman & Sterling; Anil Motwani – Shearman & Sterling; Brandon Whittaker – Shearman & Sterling;

Law Firms: Davis Polk & Wardwell; Shearman & Sterling;

Clients: Bank of America Securities; Citigroup Global Markets Ltd; J.P. Morgan Securities LLC; Toyota;

Author: Sonia Carcano