Quinnipiac University is refinancing part of its debt through a $129.1 million bond sale arranged by the Connecticut Health and Educational Facilities Authority (CHEFA).
The tax-exempt Series O bonds, scheduled to close around Sept. 18, will be used mainly to replace a portion of the school’s existing debt and cover transaction costs, according to a recently published prospectus of the offering.
The financing is backed by Quinnipiac’s main Mount Carmel campus in Hamden and a pledge of university revenues.
The bonds carry a 5% interest rate, priced to yield between 2.44% and 3.7%, depending on maturity, according to official bond documents. Payments on the debt begin in 2026.
Moody’s Investors Service assigned the debt an A3 rating, while S&P gave it an A- rating, both indicating upper-medium credit quality.
Quinnipiac, which operates campuses in Hamden and North Haven, has about 9,000 students across undergraduate and graduate programs.
According to audited financial statements, the university reported stable enrollment in 2023–2024 and continued to grow its endowment.
In fiscal 2024, Quinnipiac reported an operating surplus of $24.4 million on $363.6 million in operating revenue, financial statements show.
The school is being led by new President Marie Hardin.
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Barclays led the underwriting team, joined by BofA Securities, KeyBanc Capital Markets, Morgan Stanley and Ramirez & Co.
CHEFA, a quasi-public agency based in Hartford, regularly helps Connecticut colleges and hospitals access lower-cost financing through the tax-exempt bond market. As of June 30, 2024, CHEFA had approximately $8.7 billion in outstanding bonds issued on behalf of nonprofit institutions throughout Connecticut.
