Bexar County (TX)
Combination Tax & Revenue Certificates of Obligation, Series 2013
Siebert Brandford Shank underwrites $8.8 million in unsold bonds
Bexar County, Texas issued certificates of obligation to finance highway improvements in a transaction senior-managed by Siebert Brandford Shank in January 2013.
A weak Treasury market and a January 31 pricing date sandwiched between two market moving indicators—the much anticipated FOMC statement on January 30 and the unemployment data release on February 1—heightened market instability, and despite the FOMC’s reaffirmation of its commitments regarding the Fed Funds rate, the municipal bond market remained weak.
Astute pricing allowed Siebert Brandford Shank’s sales force to generate $89 million in priority orders (95% of the total priority orders submitted by the underwriting group). In addition, for the unsold balance of the offering, our firm stepped up to underwrite $8.8 million bonds for the benefit of the group. The final all-in TIC of the transaction was 3.47% with an average life of 20.96 years. Siebert Brandford Shank’s pricing levels, sales distribution performances and its willingness to commit its capital by underwriting unsold bonds were greatly appreciated by the County and its two co-financial advisors.