Trinity Health bond sale complete
Trinity Health officials say a recent pricing and bond sale of more than $350 million tax-exempt revenue bonds, or 2017C Bonds, has ended.
Trinity announced Thursday through a news release that the bonds were fully subscribed within one hour of being made available to retail and institutional investors.
At the conclusion of the order period there was significant oversubscription well in excess of the amount offered and indicative of investor sentiment towards the creditworthiness of Trinity Health. As a result of the significant investor demand for the bonds, Trinity Health was able to secure long-term all-in true interest cost of 4.446 percent.
The proceeds of the 2017C Bonds are being utilized to fulfill multiple Trinity Health objectives, including funding capital investments into signature projects such as a new healthcare campus and medical district in southwest Minot. “Achieving an appropriate level of permanence to the capital structure of Trinity Health is vital to its financial stability and ability to fulfill its mission,” stated Trinity’s Chairman of the Board, Patrick Holien. “The overwhelming interest the market has shown in this offering is a recognition of the strength of Trinity Health, the critical role it plays in our community, and the level of confidence the market has in our management team and board.”
According to John Kutch, Trinity Health’s president and chief executive officer, this development points to a positive prognosis for the future of Trinity Health. “The bond sale is a significant milestone in our turnaround and transformation,” said Kutch.
Slated to begin in 2018, the new hospital campus and medical district will be built in southwest Minot and will include a state-of-the-art digital, patient-centered hospital and outpatient center that provides easy access to a wide variety of comprehensive services.
According to Kutch, this investment will transform healthcare delivery in the region.
“This initiative is not only about improving the future of healthcare in our region,” Kutch said, “it is about investing in the future of the northwest region of North Dakota.”