Almost three and a half million dollars in bonds are going toward university projects across Tennessee. The School Bond Authority facilitated the sale.
Roughly a third of those securities are 2014 Series A taxable bonds and include new money and refunding bonds. The proceeds will repay a revolving credit facility, fund further projects and refinance certain securities outstanding. The refinancing will save the state $6 million.
The rest are 2014 Series B tax exempt bonds, and will save institutions an additional $17.8 million through interest.
In a statement, Tennessee Comptroller Justin Wilson praised the transaction.
“This may be the most extraordinary sale in the Authority’s history," Wilson said.
The SBA says these securities were sold at historically low rates. The bonds were rated AA+ by Fitch Ratings, AA by Standard & Poor’s and Aa1 by Moody’s Investor Service.
Spokesman John Dunn says specific uses for the bonds will be determined at a later date.