Investors Go for Illinois Bonds
(Chicago Breaking News) — Investors demonstrated an appetite for Illinois bonds Wednesday when the state went to market with a $900 million issue, but as expected, they extracted a higher yield because of the state’s dismal financial condition.
More than $2 billion in orders came in for the taxable Build America bond issue, a show of strong demand, said John Sinsheimer, the state’s director of capital markets. Overall, the bonds drew 93 investors, including 17 from overseas who bought about 29 percent of the issue.
“The fact that 17 highly sophisticated international investors made the decision that Illinois credit was worth their investment for the long term . . . is a true statement of their view of the creditworthiness of Illinois,” he said.