The board of New York’s Metropolitan Transportation Authority has qualified military-oriented investment firms Academy Securities and Drexel Hamilton LLC for co-manager assignments on MTA-related transactions.
The move, which the board approved on Feb. 25, will further the MTA’s efforts to involve service disabled, veteran-owned firms, according to chief financial officer Robert Foran and finance manager Patrick McCoy.
Academy and Drexel are now eligible for rotation into the role of special co-senior manager, a practice used for minority- and women-owned firms. The authority is targeting 6% participation by veteran firms under the Service Disabled Veteran-Owned Business Act, which Gov. Andrew Cuomo signed last year.
Late in 2013, the MTA, one of the largest municipal issuers with $34 billion of debt, increased its percentage of minority- and women-owned firms by adding 10 underwriters as senior manager, 24 as co-manager and a selling group of 18 firms eligible to underwrite MTA and Triborough Bridge and Tunnel Authority bonds.
Drexel syndicate and trading professional Michael Steigerwald praised the MTA for the move at the board’s public-speaking session.
