Town’s “Exceptional Credit” Prompts Strong Turnout and Results for Bond Sale
If you have to borrow money, it’s nice to know your really stellar financial profile has helped score a very positive lending rate.
So it was for Wilton’s $3.6 million bond sale Thursday, April 25, according to Wilton’s CFO Anne Kelly-Lenz, who announced the sale yielded competitive interest rates on the strength of the town’s solid reviews from Moody’s Investors Service, one of the three major Wall Street Rating Agency firms.
Seven firms, including Raymond James, BNY Mellon and Roosevelt & Cross, among others, placed bids ranging from 2.2% to the winning bud of 1.86% from Robert W. Baird & Co..
The bonds sold this year carry a 10-year term. The bonds will primarily provide the financing for road restoration and improvements to recreation facilities approved at the 2018 Annual Town Meeting.
“Today’s results were primarily driven by the Town’s exceptional credit rating and prudent long term financial management of the Town,” said Matthew Spoerndle, senior managing director of Phoenix Advisors and Wilton’s municipal advisor. “Town officials have continued to keep Wilton’s fiscal health strong over the years and Moody’s has recognized that.”
“These results keep our debt service and the burden on the taxpayers as low as possible, said First Selectwoman Lynne Vanderslice.
Moody’s affirmed Wilton’s Aaa rating, which is the highest rating available.
The settlement date for the sale is May 6, after which the funds become available to the Town.