Toronto issues fourth debenture


 

Toronto issues fourth debenture

 

Oct. 27, 2020

Global Korean Post

 

The City of Toronto is reopening one of its recently settled debenture offerings for an additional $250 million to help finance critical capital projects. This is the City’s fourth public debenture issuance this year and the lowest 30-year term rate the City has ever issued with an all-in cost of 2.436 per cent.

 

This conventional bond issue, which is a reopening of a 30-year maturity with a coupon interest rate of 2.80 per cent, will mature on November 22, 2049. This reissuance brings the bond’s outstanding amount to $600 million.

 

The proceeds from this issuance will be used to fund the completed portion of the approved capital projects from several City divisions and agencies, such as:

  • Transportation Services
  • Toronto Paramedic Services
  • Facilities Management
  • Economic Development and Culture, and
  • Exhibition Place.
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