By Paulo Trevisani


The Regents of the University of California plan to issue $2 billion in bonds to finance projects and refund outstanding debt.

The General Revenue Bonds, 2025 Series BZ, are backed by the university's general revenues, which include student tuition and fees, auxiliary enterprise revenues, and other income, according to a preliminary document and roadshow material posted Wednesday on MuniOS.

The published materials didn't specify what projects are being financed by the securities.

Interest on the bonds is tax-exempt from federal income tax and from California personal income taxes.

Maturity, coupon and interest details weren't available. Pricing is preliminarily set for Jan. 22 and closing for Feb. 18.

The Regents is the state institution responsible for higher education in California. It includes nine general campuses, a health science campus, six academic medical centers and the Lawrence Berkeley National Laboratory.

Revenues to support the University's core activities were $55.5 billion in the 2024 fiscal year, according to the roadshow material.

The bonds are rated Aa2 by Moody's, AA by S&P, and AA by Fitch. Morgan Stanley and Wells Fargo are serving as lead underwriters.


Write to Paulo Trevisani at paulo.trevisani@wsj.com

(END) Dow Jones Newswires

01-16-25 1438ET