Results of $1.5 billion in revenue bonds for the Regents of the University of California (Regents) have been announced by California State Treasurer Fiona Ma. Proceeds of the 2025 Series BZ bonds will finance various capital projects overseen by the Regents as well as refinance existing debt.

The refunding bonds will save approximately $86.5 million over the next 25 years, or $85.4 million on a present value basis. The University of California operates nine general campuses, a health science campus, six academic medical centers and the Lawrence Berkeley National Laboratory. Since its charter in 1868, the University has conferred approximately 2.9 million higher educational degrees.

During the year ended June 30, 2024, the University provided instruction to approximately 293,000 full-time equivalent undergraduate and graduate students. The University has a reputation as a leading research institution, with affiliated researchers having been awarded 71 Nobel Prizes.

The bonds were rated Aa2 by Moody’s Investors Service, AA by S&P Global Ratings, and AA by Fitch Ratings. The all-in true interest cost was 3.44 percent. The bonds will mature on dates ranging from 2025 to 2050 and bear interest rates ranging from 5 percent to 5.25 percent, with yields ranging from 2.57 percent to 3.94 percent. The joint senior managers for the bonds were Morgan Stanley & Co. and Wells Fargo Bank, N.A. The co-senior managers were RBC Capital Markets, Siebert Williams Shank & Co. and TD Securities, with an additional 17 firms participating as co-managers.