On October 5, 2021, Loop Capital Markets served as the Book Running Senior Manager for Hamilton County’s (”County”) $46.290 million Sales Tax Refunding Bonds, Series 2021A. The Bonds were rated Aa3/AA- by Moody’s and S&P, respectively. The County’s Sales Tax Bonds were upgraded by Moody’s to Aa3 from A1 as part of the financing based on strong debt service coverage levels.
The Bonds were a tax-exempt current refunding with a final maturity of 2032. The Bonds were originally issued to finance the construction of the Paul Brown Stadium (home of the Cincinnati Bengals) and the Great American Ballpark (home of the Cincinnati Reds). Throughout the pre-marketing process, the Firm provided the County investor feedback, including investors expected to place orders and the rationale from non-participating accounts. In addition, the Firm compiled an investor analysis that helped identify and target 16 underrepresented investors for the County’s Sales Tax bonds. Five of the 16 targeted investors ultimately participated in the transaction.
The Bonds received robust investor demand as over 25 investors participated in the transaction, including separately managed accounts, bond funds and money managers. Orders totaled $437.61 million and the Bonds were 9.4x oversubscribed. Because of strong subscription levels, the Firm was able to tighten pricing levels up to 9 basis points depending on maturity. The refunding generated NPV savings of $15.900 million or 26.634% of refunded par with an All-In TIC of 1.365%.