Loop Capital Markets Serves as Senior Manager for the NYC Municipal Water Finance Authority’s $825 million Water and Sewer System Second General Resolution Revenue Bonds, Fiscal 2026 Series BB

Loop Capital senior managed and successfully priced an $825 million transaction for the NYC Municipal Water Finance Authority on Wednesday, January 21.

Geopolitical issues weighed heavily in the marketplace with President Trump renewing his call to purchase Greenland and impose tariffs, escalating unrest in Iran and the yield on the Japanese 40-year bonds reaching its all-time high. During the pricing period, both the fixed income and equity markets saw significant volatility as MMD was cut 8 bps in the long-end of the curve and the S&P Index fluctuated up and down by more than 2%.

The bond sale period comprised of a one day retail on Tuesday and a institutional order period on Wednesday. A total of $46 million of retail orders were received and $1.21 billion of institutional orders were received from over 250 investors. Total subscription was 1.4X with all maturities fully subscribed. Due to the tight pricing, the Authority increased the size of the transaction from $800 million to $825 million. The 1.4X subscription level was the tightest the Authority had achieved in recent history.