US serves as underwriters' counsel in first municipal market SOFR deal
October 3, 2018
Global law firm Norton Rose Fulbright served as underwriters’ and remarketing agents’ counsel to J.P. Morgan Securities LLC in connection with the sale of US$232 million of Triborough Bridge and Tunnel Authority General Revenue Variable Rate Bonds (Secured Overnight Financing Rate Tender Notes).
The Authority, which operates bridges and tunnels in the New York City region, is an affiliate of the Metropolitan Transportation Authority, one of the largest municipal issuers in the country with US$40 billion in debt.
The issuance is the municipal market’s first tax-exempt transaction linked to the new Secured Overnight Financing Rate index (SOFR). The Federal Reserve Bank of New York in April began to publish SOFR in an effort to replace Libor (the London Interbank Offered Rate), which is to cease publishing after 2021.
The team included Anna Lee, Jim Marlin and Michael Burke (New York). Steve Watson (Washington, DC) advised on tax matters.