NTTA sells $641m bonds for Chisholm Trail Parkway

November 3, 2011

The North Texas Tollway has sold $640.5m bonds to finance the Chisholm Trail Parkway. NTTA chief financial officer Janice Davis is quoted: "It was a good day to be in the bond market.  The uncertainty in the stock market, the strength of the Chisholm Trail Parkway project and the NTTA's strong credit combined for a successful transaction."

The issues were heavily oversubscribed and surpassed interest rate expectations. The sale was comprised of:

- $73.7m in taxable bonds with yields ranging from  3.269% to 3.869%

- $566.9m in tax exempt bonds with yields that range from 2.59% on the 2019 maturities  to 4.24% on the 2032 maturities

"The Chisholm Trail Parkway will join the President George Bush Turnpike Western Extension in making up the NTTA's Special Projects System.  The Series 2011 Bonds will be secured by the tolls on the Special Projects System and will be further supported by the Toll Equity Loan from the Texas Department of Transportation. The SPS Series 2011 Bonds follow the inaugural issuance of bonds secured by the new stand-alone credit of the NTTA Special Projects System in April to finance the PGBT WE."
The SPS Series 2011 Bonds are not obligations of the NTTA System or the State of Texas.  The NTTA received a AA rating from Standard & Poors and a AA- rating from Fitch Rating Services for the bonds.

JP Morgan Chase were lead underwriters.

The Chisholm Trail Parkway tollroad (formerly named the Southwest Parkway) will extend from Fort Worth's central business district to southwest Fort Worth and south to Cleburne. The pike will be about 27 miles long and is expected to open to traffic in the summer of 2014.


TOLLROADSnews 2011-11-03

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