Casella sets price on New York bonds

Rutland, Vermont-based Casella Waste Systems Inc. has announced that, during an initial seven-year term fixed interest rate period, the annual interest rate on bonds it is preparing to issue in the state of New York will be 5.125 percent.

The rate applies to a previously announced bond offering of up to $35 million (in the aggregate principal amount) of New York State Environmental Facilities Corp. solid waste disposal revenue bonds.

The bonds will be issued under an indenture between the issuer and the bond trustee, dated as of Sept. 1, 2020. Casella says the bonds represent the drawdown (which would no longer be available to the company if not occurring by Sept. 2) of the remainder of the Series 2020 New York State Environmental Facilities Corporation solid waste disposal revenue bonds in the amount of $40 million that were issued in September of 2020.

The bonds being offered will mature Sept. 1, 2050, with the issuance of the bonds expected to close Aug. 24. Casella says it intends to use the proceeds of the bonds to finance or reimburse certain costs of certain capital projects in the state of New York.

The waste and recycling firm says the bonds are being offered only to qualified institutional buyers as defined in Rule 144A of the federal Securities Act of 1933.