Baird secured approximately $20.4 million in bond financing for Revolution Academy, a public charter school serving students in Summerfield, North Carolina. The transaction financed the acquisition and development of a new upper school campus that will serve students in grades 6-12. Proceeds also refinanced a previously incurred site acquisition bank loan, funded a debt service reserve fund, and funded costs of issuance. Baird also served Revolution Academy as sole managing underwriter for a +/-$23 million issued in December 2023 to finance its lower school campus that will ultimately serve students in grades K-5 after completion of the upper school project.
Baird successfully marketed the financing to institutional investors by emphasizing Revolution Academy’s demonstrated enrollment growth, established operating history, strong academic growth, and plans to support its continued development through a permanent upper school facility.
The bonds were marketed to a broad group of institutional investors, generating approximately $168 million in orders from 16 investors. Strong demand resulted in oversubscription for the bonds by 8.25x allowing yields to be reduced by a total of 20 to 30 basis points (0.20% to 0.30%) from the initial anticipated interest rates the afternoon prior to the bond sale
Revolution Academy’s continued academic success, enrollment growth, and healthy financials were well received by bond investors. In conjunction with Baird’s marketing efforts for the bonds, Revolution Academy’s strong performance resulted in all outstanding bondholders for the school’s existing Series 2023A Bonds purchasing the Series 2026 Bonds, of which there were six. Ten additional new investors to Revolution Academy also purchased the Series 2026 Bonds.
The financing funded the acquisition of approximately 65 acres and construction of a new 64,610-square-foot upper school campus in Summerfield, North Carolina. The facility will serve students in grades 6-12 and includes classrooms, science labs, arts and music spaces, library facilities, administrative offices, and related site improvements.
Upon completion, the new campus will provide a permanent home for Revolution Academy’s upper school program. The project will allow the school to transition students from its leased church facility that is currently serving middle and high school students into an owned campus while supporting its planned growth to a full K-12 program.
Revolution Academy is a tuition-free public charter school located in Summerfield, North Carolina. Since opening in 2020, the school has grown to serve more than 1,000 students and is working toward becoming a full K-12 program, ultimately serving over 1,400 students. The school’s classical education model emphasizes rigorous academics, character development, parental engagement, and student responsibility.
Strong enrollment demand and continued growth have supported the school’s long-term development plans, including the construction of its permanent upper school campus.
