Public Finance
Public Hospital District No. 2 of Jefferson County, WA
12/23
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$113.0 Million
Piper Sandler served as sole manager amd placement agent on Jefferson County Public Hospital District No. 2 (the "District") (Jefferson Healthcare), Washington’s Series 2023A, 2023B and 2023C Revenue Bonds.
- The 2023 financing will fund construction of a 55,900 square foot building on Jefferson’s campus and refund a portion of the hospital’s existing debt.
- Initially, Piper Sandler was helping the District through the USDA Direct Loan approval process to execute on its funding need. Piper Sandler partnered with Jefferson on a USDA Direct Loan in 2017.
- However, when it became apparent that the USDA approval process was going to take longer than expected and would push Jefferson’s construction timeline, the District decided to pivot to a public offering.
- Piper Sandler suggested Jefferson fund its financing need through a hybrid private placement/public offering approach to lower the District’s cost of capital.
- Through Piper Sandler’s private placement platform, Jefferson secured commitments from two lenders to fund $46 million of the financing at interest rates below 4.75%.
- The non-rated public offering portion of the transaction ($66.7 million) was successfully priced by Piper Sandler’s specialty finance group.
