Today in New York the A.B. Won Pat International Airport Authority, Guam (GIAA) successfully sold $247.35 million in new revenue bonds to refinance existing debt for significant savings and to finance $110 million of new capital improvements, additions and extensions to the Airport.
The success of the sale was in large part due to the comprehensive investor outreach conducted by GIAA and the Guam Economic Development Authority (GEDA). Over a period of ten days prior to today’s sale, this group met with over 20 institutional investors to promote the strength of the GIAA credit. These efforts led to nearly $1.7 billion in institutional orders from over 40 accounts. This tremendous response allowed the underwriting syndicate, led by Citigroup, to lower interest rates by almost 20 basis points (0.20%) throughout the 30 year debt structure.
“I commend GIAA and GEDA for the swift action they undertook to fund both debt service savings and the securing of much needed economic activity for our people,” Governor Eddie Calvo stated. “The $110 million in CIP’s bolsters our economy through increased employment opportunities and construction activity,” the Governor went on to state.
An elated Chuck Ada, GIAA Executive Manager, stated, “We are extremely blessed to have such overwhelming interest from numerous investors especially with the uncertainty in market conditions. As a testament to the hard work and dedication of GIAA employees, tenants, operators and airline partners, this credit sold well above its rating level.”