Estrada Hinojosa served as the Senior Managing Bookrunner for the $423.925 Million tax-exempt Harris County transactions
- Rated Aaa by Moody’s and AAA by Fitch
- Pricing Date was Wednesday, July 13, 2022
- Estrada Hinojosa deployed $2.085 Million in capital to support the deal
Market volatility was a significant concern leading up to pricing. The CPI number released the morning of pricing reached a new 40-year high, exceeding expectations. Despite investor pushback, the Estrada Hinojosa desk held the pricing scale steady, with slight adjustments from the prior day’s scale and was able to tighten spreads from 1-6 basis points across the curve on various maturities at the end of the order period.
The Estrada Hinojosa team, along with Piper Sandler, also facilitated a transparent dialogue during the entire process with our underwriting desk, the County and its advisors to allow us to enter the market during the most favorable time.
Estrada Hinojosa’s pre-marketing efforts, including a digital marketing campaign, generated high levels of investor demand for all series in the issue. Our syndicate team was able to generate a sizeable order book of $1.108 Billion or 2.6x in total group net orders with 46 unique investors that allowed us to improve borrowing yields. Our aggressive pricing levels resulted in $24.2 Million of present value savings for the County .