By Paulo Trevisani
Arizona State University plans to issue $317 million in revenue bonds to fund infrastructure projects.
The System Revenue Bonds include $301.9 million in tax-exempt Series 202 5A bonds and $15.16 million in taxable Series 2025 B bonds, according to a preliminary statement published Monday on MuniOS.
Pricing is scheduled for August 26 and closing on September 16, according to the roadshow document. Maturity dates for both series range from 2026 to 2046.
Proceeds will be used for upgrades, including a new research and education building, construction of a utility plant and a power distribution center, and improvements to the information technology infrastructure. A portion of the money raised from the sale will also be used refund debt sold in 2015 and 2016, and to pay issuance costs.
The bonds are payable from the university's gross revenue. Net revenue available for debt service totalled $2.57 billion in the latest fiscal year, ended June 30, 2024.
The multi-campus university is located in the Phoenix metropolitan area, which includes a campus in the City of Tempe. Its total enrollment for the 2024 fall semester was 152,864, which included 71,965 students enrolled in programs that are completely online.
The bonds are rated Aa2 by Moody's and AA by S&P.
Morgan Stanley is the lead underwriter.
Write to Paulo Trevisani at paulo.trevisani@wsj.com
(END) Dow Jones Newswires
August 19, 2025 17:56 ET (21:56 GMT)
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