Public Finance
Indiana Finance Authority
04/24
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$80.0 Million
Piper Sandler served as sole manager on Margaret Mary Health’s Series 2024A Bonds.
- The financing will fund a replacement hospital facility for the Critical Access Hospital.
- The 2024 financing is the culmination of a multi-year plan of finance development between Piper Sandler and Margaret Mary. As part of the plan of finance development, Piper Sandler helped Margaret Mary:
- Identify the appropriate mix of liquidity and leverage to fund the replacement facility with the Hospital deciding to contribute $35 million of equity and borrow $80 million.
- Determine the rating agency to approach for Margaret Mary’s inaugural rating and helped Margaret Mary with creation of the rating presentation and prepped management for the rating call. Margaret Mary received a “BBB-” rating from S&P.
- As a result of extensive and diligent investor outreach, 18 unique investors placed orders for the financing.
- The strong investor interest led the Margaret Mary financing to price 29 bps lower than the most recent investment grade CAH financing.
- As part of the financing, Piper Sandler helped Margaret Mary put in place a new MTI which will replace a 20+ year old MTI and provide the Hospital with additional operating flexibility under its bond documents.
