New York Water Fiscal 2017 Series EE

New York City Municipal Water Finance Authority
Water and Sewer System Second General Resolution Revenue Bonds, Fiscal 2017 Series EE

Siebert Cisneros Shank serves New York City Municipal Water Finance Authority as senior manager on $392.1 million current refunding

On February 28, 2017 Siebert Cisneros Shank (“SCS”) served the New York City Municipal Water Finance Authority as senior manager on its $392.1 million current refunding transaction. SCS was one of three book-running senior managers for the Authority. The transaction received approximately $75 million in retail orders during the one-day retail order period reflecting an effective marketing strategy developed by SCS, which offered retail-friendly 3%, 4% par-ish bonds as well as 5% coupons in select maturities. The diversity of couponing options resulted in a successful retail offering period during which nearly 20% the transaction was subscribed for. Despite recent market volatility, the transaction garnered a strong level of subscription and  SCS was able to reduce yields by 2 to 4 bps on most maturities to levels that were inside of the original retail scale. SCS effectively priced the Authority’s transaction in a favorable market, just ahead of a notable correction later in the week. Following the transaction, the 20-Year AAA MMD yield rose by 13 basis points from 2.95% on February 28th to 3.08% on March 3rd after speeches by President Trump and Chairwoman Yellen.