The Cleveland County Recreational and Entertainment Facilities Authority unanimously approved a resolution naming a trustee bank and underwriters for anticipated bonds up to $230 million to finance the Rock Creek Entertainment District arena during its meeting Monday.
Cleveland County residents will be able to purchase bonds, according to the authority’s financial advisor, Michael Newman.
“Anybody in Cleveland County who wants to buy a bond will get a bond. Second priority will be Oklahoma residents, third will be institutional investors and then, it’s called ‘member orders’ for the underwriters to buy for their own account,” Newman said.
This comes after the Cleveland County Board of Commissioners approved an up-to $50 million in bond anticipation note in March. The board sold a $5 million portion of the bonds in April.
The authority named BancFirst as the trustee bank.
“BancFirst is below fee and not charging an acceptance fee, or an annual fee,” Newman said.
He recommended the authority name a syndicate of underwriters, who will, according to the resolution, share the responsibility of determining the best terms and conditions for the issuance and sale of the bonds:
• Goldman Sachs at 47.5%,
• Stifel, Nicolaus & Company at 45.7%
• and Commerce Blank at 5%
Newman explained the decision to recommend Goldman Sachs and Stifel as underwriters.
“Goldman has that experience dealing with residents voicing their views. It does not scare them, they’re aware of it, and we make sure all potential underwriters responding were aware of prior litigation…” Newman said. “Stifel does a lot of work in the state of Oklahoma as well, at the state level, including the University of Oklahoma.”
On March 6, Oklahomans for Responsible Economic Development sent a letter to the city of Norman stating the organization’s intent to sue the city and Cleveland County.
ORED’s letter claims the city and county violated the Open Meetings Act in connection with the adoption of and attempt to move forward with the Rock Creek Entertainment District project plan. The letter noted the Cleveland County Board of County Commissioners’ March 2 meeting, where the board unanimously approved the bond anticipation note for the entertainment district.
Read more:
This story was edited by Reagan Rozzi and Audrey McClour.
‘ The preceding article may include information circulated by third parties ’
‘ Some details of this article were extracted from the following source www.oudaily.com ’
