Citizen's Bonds Sell Out Quickly
Vermont’s latest offering of Citizen’s Bonds sold out in a matter of hours this week and according to State Treasurer Beth Pearce the sale was driven by strong interest from Vermonters, who are given first priority. Citizen’s Bond sales totaled $25 million. 94 percent of that amount was purchased by Vermont retail investors. The bonds were available in denominations of $1,000.
The Citizen’s Bonds were one of three bond offerings this week. The state also sold $42.8 million of Series B bonds and $18.9 million of Series C bonds. These were sold on a competitive basis to large institutional investors. 13 bids were submitted for the Series B bonds and the winning offer came from Wells Fargo. The Series C bond offering fielded 12 bids, and was won by Morgan Stanley.
According to the treasurer’s office the Citizen’s Bonds and Series B bonds will be used to finance a variety of projects, including the new Waterbury State Office Complex and the Vermont State Hospital, which were damaged in Tropical Storm Irene.
The Series C bonds will be used to refinance existing bonds.