Transaction Details

Elgin School District No. 46

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Following a competitive RFP process, Baird was selected to serve as a 25% co-managing underwriter for the District’s $57,230,000 General Obligation School Bonds, Series 2024. Proceeds were used to pay costs of constructing safety and security improvements, renovating and replacing building infrastructure, adding classrooms for early childhood education, constructing accessibility improvements under the Americans with Disabilities Act, constructing STEM (science, technology, engineering and
mathematics) labs and classrooms, building and equipping school buildings and additions to/repairs to existing school buildings.

Baird had extensive premarketing efforts which included spending two weeks creating and distributing flyers and e-mail templates to our Private Wealth Management group. The Bonds were very well received with over $509.4 million in orders (8.9x the par amount) and oversubscriptions in all maturities by as much as 12x. Baird placed $19.75 million in orders (34.5% of par, above our 25% participation). Because of the oversubscriptions, the Underwriting Team was able to lower yields by 6 to 12 basis points (0.06%-0.12%) on all maturities.

Overall, retail investors submitted $915,000 in orders, of which Baird brought in $400,000 (44%) in retail orders as a 25% co-manager, which was a top priority of the District. The Bonds achieved an all-in true interest cost of 3.26% over 11 years.