The Metropolitan Atlanta Rapid Transit Authority (MARTA) secures USD 350 million in funding as the Board of Directors approves a financial strategy to strengthen liquidity and generate significant cost savings.
As part of this initiative, MARTA will refinance USD 148 million of its Series 2020B and 2021D bonds, resulting in net present value savings of USD 8.2 million through reduced future interest payments. Additionally, the Board has authorised the issuance of a new bond with a par value of USD 328 million. Due to favourable market conditions, this will provide MARTA with USD 350 million in funding.
Amid ongoing financial market fluctuations, MARTA capitalised on its strong financial standing and AAA credit ratings to secure advantageous borrowing terms.
“This transaction allows MARTA to achieve significant savings on borrowing costs while securing the necessary funding to support our operational and capital needs,” said MARTA General Manager and CEO Collie Greenwood.
“This is yet another example of MARTA’s fiscal discipline and responsible stewardship translating into tangible results for our transit system and residents of the metropolitan Atlanta area,” added MARTA Board of Directors Chair Jennifer Ide.
MARTA Board of Directors Chair Jennifer Ide highlighted the broader impact of the move, stating: “This is another example of MARTA’s fiscal discipline and responsible stewardship delivering tangible benefits for our transit system and the residents of metropolitan Atlanta.”
The transaction was successfully executed with the support of PFM Financial Advisors, alongside legal counsel from Holland & Knight LLP, Kutak Rock LLP, and Townsend & Lockett LLC. Following an evaluation of multiple proposals from financial institutions, Wells Fargo was selected to lead the transaction based on its expertise and analysis of similar deals.
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