BRADENTON, Fla. - Investors interested in Georgia paper will find $1.5 billion available during the week of June 8.
The state of Georgia will competitively issue $1.3 billion of general obligation bonds on Tuesday.
Atlanta will follow on Wednesday with a $252 million GO offering.
Both transactions will price on Ipreo's Parity electronic bidding platform.
Georgia's deal will provide financing for infrastructure projects across the state, and is expected to be the first of two such issuances this year, according to Diana Pope, director of the Financing and Investment Division.
Tuesday's offering is expected to be sold as $563.4 million of tax-exempt bonds, $447.8 million of taxable bonds, and $279.14 million of refunding. The new-money bonds will have serial maturities between 2016 and 2035, while the refunding bonds will mature between 2016 and 2020.
"It is the largest new-money deal the state has done in a single day," Pope said.
The transaction will provide just over $1 billion to finance K-12 and higher education facilities, transportation and other statewide projects, as well as water supply projects.
Pope said the deal will also complete the state's share of funding for the long-planned Savannah Harbor deepening project.
The refunding is expected to bring estimated net present value savings of about $25 million or 9% of refunded par, Pope said, adding, "We'll pull it if it doesn't meet our goals."
With Atlanta's deal coming to market the same week as the state, Pope said, "We're hoping there will be plenty of demand for both."
Fitch Ratings, Standard & Poor's and Moody's Investors Service all affirmed their triple-A ratings ahead of the deal. Georgia also has about $9.5 billion of outstanding GO bonds.
Public Resources Advisory Group is the state's financial advisor. Holland & Knight LLP is bond counsel. Kutak Rock LLP is disclosure counsel.
On Wednesday, Atlanta brings a $252 million general obligation bond deal to market.
The bonds were approved by voters in March to finance a portion of the city's backlogged public projects, including municipal building improvements, recreation centers, traffic projects, storm water drainage, street lights, and sidewalks.
The GOs are expected to be issued as serial bonds with maturities from 2017 to 2034, though term bonds may be designated by bidders.
The bonds are rated AA-plus with a stable outlook by Fitch Ratings, Aa2 with a positive outlook by Moody's, and AA with a stable outlook by S&P.
Moody's and S&P affirmed their ratings on the city's $222.6 million of outstanding GOs.
"The positive outlook reflects the expectation that the city's financial position will remain stable at currently strong levels as the government returns to sustainable budgetary growth, following several years of significant cuts," said Moody's analyst Lauren Von Bargen.
Moody's outlook also incorporates the city's role as a growing economic center in the southeastern U.S. and the expectation that the tax base will continue to rebound from a period of high foreclosures and significant tax base declines, Von Bargen said.
First Southwest Co. and Grant & Associates LLC are co-financial advisors for Atlanta's offering.
Hunton & Williams LLP and the Haley Law Firm LLC are co-bond counsel. Greenberg Traurig LLP and Riddle & Schwartz are co-disclosure counsel.
