FWP

Issuer Free Writing Prospectus

Filed Pursuant to Rule 433

Dated June 6, 2022

Registration Statement No. 333-236292

Relating to the Preliminary Prospectus Supplement dated June 6, 2022

PRICING TERM SHEET

PARKER-HANNIFIN CORPORATION

$1,400,000,000 of 3.650% Senior Notes due 2024

$1,200,000,000 of 4.250% Senior Notes due 2027

$1,000,000,000 of 4.500% Senior Notes due 2029

 

   
Issuer:    Parker-Hannifin Corporation
       
Title of Securities:    3.650% Senior Notes due 2024    4.250% Senior Notes due 2027    4.500% Senior Notes due 2029
   
Distribution:    SEC Registered
   
Security Type:    Senior Unsecured
   
Expected Ratings at the Settlement Date*:    Moody’s: Baa1 (negative) / S&P: BBB+ (negative) / Fitch: BBB+ (negative)
       
Principal Amount:    $1,400,000,000    $1,200,000,000    $1,000,000,000
   
Denomination:    $2,000 and integral multiples of $1,000 in excess thereof
     
Trade Date:    June 6, 2022     
   
Settlement Date†:    June 15, 2022 (T+7)
       
Maturity Date:    June 15, 2024    September 15, 2027    September 15, 2029
       
Price to Public:    99.931% of face amount    99.788% of face amount    99.780% of face amount
       
Coupon (Interest Rate):    3.650%    4.250%    4.500%
       
Benchmark Treasury:    2.500% UST due May 31, 2024    2.625% UST due May 31, 2027    2.750% UST due May 31, 2029


       
Benchmark Treasury Price and Yield:    99-17+ / 2.736%    98-02 34 / 3.042%    97-29+ / 3.083%
       
Spread to Benchmark Treasury:    +95 bps    +125 bps    +145 bps
       
Yield to Maturity:    3.686%    4.292%    4.533%
     
Interest Payment Dates:    Semi-annually on June 15 and December 15 of each year, commencing December 15, 2022    Semi-annually on March 15 and September 15 of each year, commencing March 15, 2023
   
Optional Redemption:     
       

Make-Whole Call:

   UST + 15 bps    UST + 20 bps    UST + 25 bps
       

Par Call:

   None    On or after August 15, 2027 (one month prior to the Maturity Date)    On or after July 15, 2029 (two months prior to the Maturity Date)
   
Special Mandatory Redemption:    If we do not consummate the proposed acquisition of Meggitt plc on or prior to April 3, 2023 or, if prior to such date, we notify the trustee for the notes in writing that the cooperation agreement between us and Meggitt plc is terminated, the notes will be subject to a special mandatory redemption. The special mandatory redemption price will be equal to 101% of the aggregate principal amount of the notes, plus accrued and unpaid interest on the notes to, but not including, the special mandatory redemption date.
       
CUSIP / ISIN:    701094 AQ7 / US701094AQ75    701094 AR5 / US701094AR58    701094 AS3 / US701094AS32
       
Joint Book-Running Managers:   

Citigroup Global Markets Inc.

HSBC Securities (USA) Inc.

Wells Fargo Securities, LLC

Barclays Capital Inc.

BNP Paribas Securities Corp.

KeyBanc Capital Markets Inc.

Mizuho Securities USA LLC

TD Securities (USA) LLC

  

Citigroup Global Markets Inc.

HSBC Securities (USA) Inc.

Wells Fargo Securities, LLC

Barclays Capital Inc.

BNP Paribas Securities Corp.

KeyBanc Capital Markets Inc.

Mizuho Securities USA LLC

TD Securities (USA) LLC

  

Citigroup Global Markets Inc.

HSBC Securities (USA) Inc.

Wells Fargo Securities, LLC

Barclays Capital Inc.

BNP Paribas Securities Corp.

KeyBanc Capital Markets Inc.

Mizuho Securities USA LLC

TD Securities (USA) LLC


       
Co-Managers:   

Commerz Markets LLC

MUFG Securities Americas Inc.

PNC Capital Markets LLC

Truist Securities, Inc.

U.S. Bancorp Investments, Inc.

BBVA Securities Inc.

Lloyds Securities Inc.

Santander Investment Securities Inc.

UniCredit Capital Markets LLC

BNY Mellon Capital Markets, LLC

  

Commerz Markets LLC

MUFG Securities Americas Inc.

PNC Capital Markets LLC

Truist Securities, Inc.

U.S. Bancorp Investments, Inc.

BBVA Securities Inc.

Lloyds Securities Inc.

Santander Investment Securities Inc.

UniCredit Capital Markets LLC

BNY Mellon Capital Markets, LLC

  

Commerz Markets LLC

MUFG Securities Americas Inc.

PNC Capital Markets LLC

Truist Securities, Inc.

U.S. Bancorp Investments, Inc.

BBVA Securities Inc.

Lloyds Securities Inc.

Santander Investment Securities Inc.

UniCredit Capital Markets LLC

BNY Mellon Capital Markets, LLC

 

*

Note: A securities rating is not a recommendation to buy, sell or hold securities and may be subject to revision or withdrawal at any time.

This pricing term sheet relates only to the securities described above and should be read in conjunction with the preliminary prospectus supplement dated June 6, 2022 (the “Preliminary Prospectus Supplement”) relating to these securities. The information in this pricing term sheet supplements the Preliminary Prospectus Supplement and updates and supersedes the information in the Preliminary Prospectus Supplement to the extent it is inconsistent with the information in the Preliminary Prospectus Supplement.

† The issuer expects that delivery of the notes will be made to investors on or about June 15, 2022, which will be the seventh business day following the date of this pricing term sheet (such settlement being referred to as “T+7”). Under Rule 15c6-1 under the Exchange Act, trades in the secondary market are required to settle in two business days, unless the parties to any such trade expressly agree otherwise. Accordingly, purchasers who wish to trade the notes prior to the second business day before the date of delivery of the notes hereunder will be required, by virtue of the fact that the notes initially settle in T+7, to specify an alternate settlement arrangement at the time of any such trade to prevent a failed settlement. Purchasers of the notes who wish to trade the notes prior to the second business day before the date of delivery of the notes should consult their advisors.

The issuer has filed a registration statement (including a prospectus and related preliminary prospectus supplement for the offering) with the U.S. Securities and Exchange Commission (the “SEC”) for the offering to which this communication relates. Before you invest, you should read the preliminary prospectus supplement, the accompanying prospectus in that registration statement and the other documents the issuer has filed with the SEC for more complete information about the issuer and this offering. You may get these documents for free by visiting EDGAR on the SEC’s website at www.sec.gov. Alternatively, the issuer, any underwriter or any dealer participating in the offering will arrange to send you the prospectus if you request it by calling Citigroup Global Markets Inc. toll-free at 1-800-831-9146, HSBC Securities (USA) Inc. toll-free at 1-866-811-8049, and Wells Fargo Securities, LLC toll-free at 1-800-645-3751.

This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities in any jurisdiction to any person to whom it is unlawful to make such offer or solicitation in such jurisdiction.

ANY DISCLAIMERS OR OTHER NOTICES THAT MAY APPEAR BELOW ARE NOT APPLICABLE TO THIS COMMUNICATION AND SHOULD BE DISREGARDED. SUCH DISCLAIMERS OR OTHER NOTICES WERE AUTOMATICALLY GENERATED AS A RESULT OF THIS COMMUNICATION BEING SENT VIA BLOOMBERG OR ANOTHER EMAIL SYSTEM.