DEN Refinances $628M in Subordinate Revenue Bonds, Saving $46M

Denver International Airport. Credit: DEN

The City and County of Denver on behalf of Denver International Airport (DEN) recently announced the successful refunding of $628 million of its 2013A and 2013B subordinate airport revenue bonds. The refinancing will save DEN more than $46 million over the next 20 years.

The refinancing was underwritten by Ramirez & Co., Inc. the largest transaction led by a Minority Owned Business Enterprise (MBE) in the City and County of Denver’s history. Ramirez & Co., Inc. is a nationwide, full-service investment bank, brokerage, and advisory firm headquartered in New York. J.P. Morgan Securities LLC, Loop Capital Markets LLC, and Morgan Stanley & Co. LLC also assisted in today’s transaction.

“Ramirez & Co., Inc. is so pleased to have led today’s successful transaction and to have lent our expertise to help DEN generate over $46 million of savings on their subordinate bonds. As to lead the largest municipal bond transaction in the City and County of Denver’s or DEN’s history senior managed by an MBE firm,” said Samuel Ramirez, president and CEO of Ramirez & Co., Inc.

The bond sale was accelerated due to improved market dynamics and strong investor demand. The city received over $4.4 billion in orders from over 70 investors. The financing is set to close today, November 22, 2023.

“This transaction highlights two principles of our Vision100 plan: sustainability and resiliency, and equity, diversity, inclusion, and accessibility. These guiding principles insist we act prudently with our finances, including ensuring that our debt is well managed and has the lowest interest rates the market will allow. And they also underscore the importance of the work of MBE companies like Ramirez & Co., Inc. and Loop Capital Markets LLC,” said DEN CEO Phil Washington.

The 2023A and 2023B refunding bonds, will reach maturity in 2043 and are rated A1 (Stable) by Moody’s, A+ (Stable) by S&P, and A+ (Positive) by Fitch.

In 1971, Municipal Pioneer, Samuel A. Ramirez Sr., started the first Hispanic investment bank in the nation. 50 years later, the firm ranks 10th industry-wide among all managers.

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