State Treasurer Fiona Ma Announces Results of $2.2 Billion in Revenue Bond Sales for University of California

SACRAMENTO – California State Treasurer Fiona Ma announced results of $2.2 billion in General Revenue Bond sales for the Regents of the University of California (Regents). Proceeds of the $1.77 billion 2023 Series BN tax-exempt bonds, $52.35 million 2023 Series BO taxable bonds, and $344.38 million 2023 Series BP tax-exempt variable rate demand bonds will finance various projects overseen by the Regents as well as refinance existing debt. The 2023 Series BN refunding bonds will save approximately $164.0 million over the next 15 years, or $127.8 million on a present value basis.

California State Treasurer Fiona Ma. Photo by Keyang Pang

The 2023 Series BN and 2023 Series BO bonds are rated Aa2 by Moody’s Investors Service, AA by S&P Global Ratings, and AA by Fitch Ratings. The 2023 Series BP bonds are rated Aa2/VMIG 1 by Moody’s Investors Service, AA/A-1+ by S&P Global Ratings, and AA/F1+ by Fitch Ratings.

The 2023 Series BN bonds have an all-in true interest cost of 3.56 percent, will mature on dates ranging from 2023 to 2044, and bear interest rates from 5.0 to 5.5 percent, with yields initially reoffered to investors ranging from 2.43 percent to 3.65 percent. The 2023 Series BO bonds have an all-in true interest cost of 4.73 percent, will mature in 2033, and were initially reoffered to investors at a yield of 4.693 percent. The 2023 Series BP bonds are structured as variable rate demand bonds with a daily interest rate reset.

The joint senior managers for the bonds were Morgan Stanley & Co. LLC and Goldman Sachs & Co. LLC. The co-senior managers for the 2023 Series BN and 2023 Series BO bonds were BofA Securities, Inc. and Siebert Williams Shank & Co., LLC, with an additional 17 firms participating as co-managers.

The University of California (University) was chartered in 1868 and currently operates 10 statewide campuses, six academic medical centers, and three national laboratories. During the year ended June 30, 2022, the University provided instruction to approximately 290,000 full-time equivalent undergraduate and graduate students. The University has a reputation as a leading research institution, with affiliated researchers having been awarded 71 Nobel Prizes.

The calendar of all upcoming state bond sales is available at