Allegheny Health Network issues $914.9 Billion in Tax-Free Bonds

Aug 7, 2018 | Healthcare, Healthcare - Hospitals & Hospital System, Municipal Bonds, Municipal Finance

Featured Municipal Bond, Week of  August 6, 2018:  Allegheny County Hospital Development Authority Revenue Bonds – $914.9  Million

Municipal Bonds

The Allegheny County Hospital Development Authority is issuing $914.9  million in general obligation bonds the week of  August 6, 2018. The bonds are being issued as a single, tax-exempt series, for the purpose of refunding prior bonds related to the Series 2017 issues by the Allegheny Health Network Group, currently outstanding in the amount of $1 billion.    The bonds are being underwritten through negotiation by Citigroup, BoA Merrill Lynch and PNC Capital Markets, LLC.  Payment of principal and interest on the bonds  will be payable solely from the pledged revenues outlined in the official statement.  The bonds constitute a joint and several obligation of the obligated group members associated with the Allegheny Health Network, including but not limited to these subsidiaries:  West Penn Allegheny Health System, the Jefferson Regional Medical Center, Saint Vincent Health Center and the Canonsburg General Hospital. The System’s headquarters is in Pittsburgh, PA.

Details on purposes, tax-status, security, as well as other matters pertaining to this Allegheny Hospital Development  bond issue can be found in the preliminary official statement, available on MuniOS.

Provided at left (click to expand) is a quick snapshot of financial characteristics of the Allegheny Health Network as of 12/31/2017, compared with the 2016-2017 medians for other U.S. hospitals and systems, courtesy of Merritt Research Services, LLC. Merritt has many of the sector medians publicly available and regularly updated on their Benchmark Central page. (Merritt believes the data to be reliable but does not make any representations as to its accuracy or completeness). In addition to the Merritt information related to the featured bond, more information can be found on our municipal bond calendar, city, state, and county pages, and our employment database.

These facts and numbers are for informational purposes, and should not be considered an official disclosure for potential investors. Investors should consult the official statement. None of the information provided should be construed as a recommendation by MuniNet Guide, MuniNet LLC, Merritt Research Services LLC, or any of their employees. Information and analysis is for informational purposes only