The University of Toronto plans to issue debt securities, initially to raise $160 million for construction, the National Post Online reported May 16.
Moody’s Investor Services assigned the school an Aa2 rating with a stable outlook, one notch above the Aa3 rating that Moody’s gives to provincial long-term debt, the Post said.
The rating incorporates the potential for the university to issue another $300 million of debt over three years, compared to $64 million of currently outstanding long-term debt.
Moody’s estimates the school’s total financial resources are roughly $1.6 billion, of which $440 million is unrestricted and available to support operations, the Post said.
Standard & Poor’s is expected to release a credit rating this week.
For full story, go to the National Post.