Assumption College Completes Largest Bond Offering in its History
Worcester, MA— Assumption College officials announced today that the largest public bond offering in the College’s history has been completed with the issuing of $47,005,000 in thirty year Variable Rate Demand Revenue Bonds through the Massachusetts Development Finance Agency. In a related transaction, $23,490,000 of the total issue was converted to ten and twenty year fixed rate maturities. The issue was well received by the financial community, with an initial effective interest rate to the College of 3.822%. The Worcester firms of Fletcher, Tilton and Whipple, P.C. represented the College with Bowditch and Dewey, LLP serving as Bond Counsel. George K. Baum & Company of Denver served as Underwriter with Sovereign Bank of Worcester providing a Letter of Credit.
Francis P. Gurley, Executive Vice President and Treasurer of the College, indicated that the funds would be used to finance the College’s state-of-the-art Science Center, now under construction, and to refinance debt issued in conjunction with the College’s recent physical plant growth. The 5-year, $50 million building program has included four new residence halls, an Information Technology Center, a classroom / art studio addition, two parking decks and the remodeling of a dining facility in the Campus Center. By the fall of 2004, and as part of a Board approved plan, the College will have increased its enrollment by 16% to 2,150 undergraduate students, with a capacity for 1,900 residents.
Dr. Thomas R. Plough, president of the College, commented. “I am very pleased with the confidence that the financial community continues to express in the mission and operations of Assumption College. Our growth in recent years is testimony to the competitiveness of the College and the desirability of Worcester as a higher education community. As we approach our 100th anniversary in 2004, we are well positioned to meet the challenges ahead.”
Commenting on the transaction, Michael P. Hogan, CEO of MassDevelopment, the state’s quasi-public economic development authority said, MassDevelopment is honored to have been involved in providing a significant investment as Assumption develops new state of the art facilities and programs that provide students with advanced skills in science and technology. Our involvement demonstrates our strong commitment to assist in the further development of an educated and skilled labor force. We are proud to be part of Assumption's team."