On June 8, 2022, Loop Capital Markets (the “Firm”) served as the joint bookrunner for the city of Atlanta, Georgia’s (the “City”) $382.370 million Airport General Revenue Bonds, Series 2022AB (“Series 2022AB GARBs”) and the City’s $164.050 million Airport Passenger Facility Charge and Subordinate Lien General Revenue Bonds, Series 2022CD (“Series 2022CD PFC Bonds” and together with the Series 2022AB GARBs, the “Bonds”). All of the Bonds were rated Aa3 (Stable) / AA- (Stable) by Moody’s and Fitch, respectively.
The Bonds were issued to finance portions of the 2022 Project, which is comprised of new money projects related to the City of Atlanta’s 2026 Capital Plan (including renovations to runways, terminal, parking facilities and supporting infrastructure). The Series 2022AB GARBs had maturities from 2023 through 2052 while the Series 2022CD PFC Bonds had maturities from 2026-2042.
The Firm provided both superior banking coverage in anticipation of the financing (mandated for senior positions on consecutive GARB financings) and exceptional sales efforts during pre-marketing and marketing during a volatile pricing period. Benchmark tax-exempt and taxable rates rose considerably during the days leading up to pricing in anticipation of May’s CPI release on Friday, June 10. In total, the issue was 2.1x oversubscribed with heavy demand flow in the front end. MMD rose 10 bps, but despite the volatility, the Firm and the other senior manager were able to underwrite at or near pre-pricing levels for the AMT bonds and for some maturities of the Non-AMT bonds.
Across all series, over $44 million of priority orders were generated by the Firm. Serving as joint bookrunner, the Firm was allotted $11.4 million bonds across the 4 series. At the verbal award, the senior managers agreed to underwrite the offering with approximately $180 million in unsold balances. By end of day, the underwriting syndicate committed capital to inventory $39 million of bonds in certain maturities from 2028 to 2047. Undeterred by the daunting and volatile market, the Firm was willing to contribute a significant amount of capital on behalf of the issuer. Despite extremely difficult and volatile markets that saw interest rates increase by more than 60 bp on certain maturities, as 40 year inflation highs and a 75 bp increase by the Federal Reserve negatively impacted the market as well.
On June 7, 2022, Loop Capital Markets was mandated as senior co-manager on a $350 million senior unsecured Green bond offering for NiSource Inc. The 30-year bond is rated Baa2/BBB+.
Use of proceeds are earmarked to finance, in whole or in part, Eligible Green Projects. Eligible Green Projects are expenditures to be incurred and investments to be made during the 2023 fiscal year related to the acquisition of the company’s wind energy projects from a developer which include the 302 megawatt (nameplate capacity) Indiana Crossroads Wind project and the 102 megawatt (nameplate capacity) Rosewater Wind project.
On June 7, 2022, Loop Capital Markets served as a co-manager on a $550 million senior unsecured notes offering for AEP Transmission. The 30-year bond is rated A2/A-/A.
Use of proceeds are earmarked for general corporate purposes.
On June 7, 2022, Loop Capital Markets served as a senior co-manager on a $400 million senior unsecured notes offering for Cabot Corp. The 10-year bond is rated Baa2/BBB.
Use of proceeds are earmarked to redeem $350 million Senior Notes due July 15, 2022 and the remainder, if any, for working capital and other general corporate purposes.
On June 7, 2022, Loop Capital Markets was mandated as an active joint-bookrunner on a two-tranche, $1 billion senior unsecured notes offering for Advanced Micro Devices, Inc. The bonds are rated A3/A- across 10- and 30-year tranches.
Use of proceeds are earmarked for general corporate purposes.
On June 6, 2022, Loop Capital Markets served as a co-manager on a $1.3 billion senior unsecured notes offering for General Motors Financial Co Inc. The 5-year bond is rated Baa3/BBB-/BBB-
Use of proceeds are earmarked for general corporate purposes
On June 6, 2022, Loop Capital Markets served as a co-manager on a $750 million senior unsecured notes offering for Ally Financial Inc. The 5-year bond is rated Baa3/BBB-/BBB-
Use of proceeds are earmarked for general corporate purposes.
On June 6, 2022, Loop Capital Markets served as a co-manager on a $700 million senior unsecured notes offering for Goldman Sachs. The 5-year bond is rated A2/BBB+.
Use of proceeds will be to finance or refinance projects and assets that respond to critical environmental, social and/or sustainability issues, including those related to climate transition and inclusive growth, as defined by eligibility criteria.
On June 6, 2022, Loop Capital Markets served as a co-manager on a two-tranche, $2 billion senior unsecured notes offering for HP Inc. The bonds are rated Baa2/BBB across 5- and 10-year tranches.
Use of proceeds are earmarked to fund the purchase price of the Poly Acquisition, repay Poly’s existing term loan, and pay any related fees and expenses.
On June 2, 2022, Loop Capital Markets served as a co-manager on a $500 million high yield senior unsecured notes offering for Advanced Drainage Systems Inc. The 8-year bond is rated Ba2/B+.
Use of proceeds are earmarked to repay the full outstanding borrowings under its senior revolving credit facility, and the remainder for general corporate purposes.
