Source: Mike Peel
The proceeds of Manchester’s ?300 million bond issue will be used for “general corporate purposes, including the continuation of its ?1bn campus master-plan”.
The announcement follows similar announcements last year by the University of Cambridge and De Montfort University.
This week, Times Higher Education reported that Durham University’s governing council has also given the go-ahead to a potential bond issue in light of the scarcity of capital funding from public sources.
Manchester’s 40-year bonds, which offer a return of 4.25 per cent, have been assigned the second highest possible rating of Aa1 by ratings agency Moody’s – the same as De Montfort’s ?110 million issue. Cambridge’s ?350 million issue, announced last October, was given the highest rating of AAA.
Dame Nancy Rothwell, Manchester’s president and vice-chancellor, said: “We are delighted by the success of this issue, and by the strong support shown by investors in the university and its mission.
“The proceeds will allow us to further our ambition to be a truly world-class university by delivering a single, outstanding campus for the University of Manchester, with our beautiful old buildings standing alongside the very best modern facilities for our research and our students.”
