Assured Guaranty Municipal Corp., a subsidiary of financial guaranty insurer Assured Guaranty Ltd., has insured $800mn of bonds for the JFK International Airport’s New Terminal One project.
The bonds insured by AGM are part of a $2 billion issue of fixed-rate bonds that has been designated as Green Bonds.
They have been issued to refinance a portion of the costs relating to the redevelopment of the New York airport’s Terminal One.
The project, to be managed by Ferrovial Airports, will see JLC Infrastructure, Ullico Infrastructure Fund and Carlyle Group developing, designing, constructing, financing, operating and maintaining the new international passenger terminal.
The bonds will be fully amortising after an initial interest-only period, AGM explained, with a final maturity in 2060.
AGM insured $97,995,000 of serial bonds with maturities of 2042, 2043 and 2044; $217,510,000 of a term bond due 2049; and $484,495,000 of a term bond due 2060.
Lorne Potash, Managing Director, Infrastructure Finance, Americas, said: “Assured Guaranty’s bond insurance on $800 million of bonds helped to optimize the cost for this important oversubscribed $2 billion financing and we are thrilled to have played such a significant role in what has resulted in a remarkable execution by Citi on behalf of New Terminal One for such a high-profile transaction. This is precisely the kind of meaningful value-add that AGM is positioned to deliver for large infrastructure projects through its cost savings and capacity.”
Sam Nakhleh, Director, Infrastructure Finance, Americas commented: “This project is the largest US P3 transportation project to date and is one of the largest insured bond transactions Assured Guaranty has participated in during the post global financial crisis era. It was great to work with all involved.”
