Iona University Secures $74.815 Million Revenue Bonds with Loop Capital Markets

Deal News | Jun 05, 2025 | Loop Capital Markets LLC

On June 5, 2025, Loop Capital Markets played a pivotal role as the sole underwriter for Iona University's $74.815 million Revenue Bonds, Series 2025. These bonds, issued through the Dormitory Authority of the State of New York, have modest underlying ratings but are bolstered by enhanced ratings due to insurance from Assured Guaranty. The raised funds are earmarked for a variety of campus improvements including constructing a green space, enhancing student residences, and upgrading athletic facilities. Additionally, the proceeds will settle prior Series 2015A Bonds and a $15 million loan from Bank of America. Despite a bustling municipal issuance environment, Loop's effective marketing strategy led to a 5.4x oversubscription, enabling spread tightening and $2.8 million in savings for the university over five years through reduced cash flows and the introduction of new projects. Loop's comprehensive investor outreach and strategic pricing adjustments contributed significantly to the success of this transaction, positioning Iona University advantageously in its financial journey.

Sectors

Financial Services
Higher Education

Geography

United States – The bond issuance is facilitated through the Dormitory Authority of the State of New York, and Iona University is based in the U.S.

Industry

Financial Services – This industry involves underwriting and financial advisory services which are central to the role of Loop Capital Markets in facilitating the bond issuance.
Higher Education – Iona University, as a higher education institution, is using the proceeds from the bond issuance to enhance its facilities and infrastructure.

Financials

74.815 Million – The total value of the Revenue Bonds, Series 2025 issued by Iona University.
2.8 Million – The cash flow savings provided to Iona University over the next five fiscal years through this bond issuance.
15.000 Million – The original principal amount of the outstanding term loan from Bank of America that was refunded with the bond proceeds.
30 Million – Amount allocated for new money projects funded by the bond proceeds.

Participants

Name	Role	Type	Description
Loop Capital Markets LLC	Sole Underwriter	Company	A financial services firm that served as the sole underwriter for Iona University's bond issuance.
Iona University	Target Institution	Company	The beneficiary of the bond issuance, utilizing funds to enhance university facilities and manage debt.
State of New York Dormitory Authority (DASNY)	Issuer	Government	The authority through which the bonds were issued.
Assured Guaranty	Insurer	Company	Provided bond insurance, resulting in enhanced ratings for the bonds.
Bank of America, N.A.	Lender	Company	The institution from which Iona University had an outstanding term loan that was refunded with the bond proceeds.