The Alabama Toll Road, Bridge and Tunnel Authority plans to bring $3.62 billion of transportation bonds and notes to market the week of Sept. 7.
BofA Securities and Wells Fargo Bank plan to serve as joint senior underwriters on the deal.
The authority will be both the issuer and borrower for the deal.
The money will be used to acquire, design, construct, improve, install and equip
The bonds will come in four series. Series A will consist of $650 million of first lien toll revenue bonds, according to the authority. Series C will consist of $450 million in enhanced third lien toll and project revenue bonds. Series D will consist of $70 million of taxable enhanced third lien toll and project revenue bonds. Series 2026-1 will consist of $2.5 billion of second lien toll revenue bond anticipation notes.
The Series A, C and D bonds will have final maturities 40 years out, according to a notice on MuinOS. The Series 2026-1 will have a final maturity five years out.
At the end of construction the authority will draw down a federal Transportation Infrastructure Finance and Innovation Act loan to pay off the BAN, a Department of Transportation spokesman said.
A second phase will include replacing the rest of the Bayway.
The project's first phase is expected to cost $3.2 billion. Some of the bond and note proceeds will be used for capitalized interest and debt service reserve funds, the spokesman said.
