New York City will offer about $1.3 billion of general obligation bonds in September and October to fund capital projects and reduce interest rate risk.

The offering will be comprised of about $860 million of tax-exempt fixed rate bonds, $250 million of taxable fixed-rate bonds and $200 million of tax-exempt variable-rate demand bonds, the city comptroller's office announced on Monday.

The city’s underwriting syndicate will be led by book-running senior manager Siebert Cisneros Shank & Co., with Bank of America Merrill Lynch, Citigroup, Goldman Sachs, Jefferies, J.P. Morgan, Loop Capital Markets, Ramirez & Co. and RBC Capital Markets serving as co-senior managers.

The tax-exempt fixed-rate bonds are expected to be priced for institutions on Thursday, Sept. 14. A two-day retail order period will be held on Tuesday, Sept. 12 and Wednesday, Sept. 13.

NYC Comptroller Scott Stringer
NYC Comptroller Scott Stringer

Also on Thursday, Sept. 14, the city intends to competitively sell $250 million of taxable fixed-rate new money bonds.

The city intends to offer an additional $200 million of tax-exempt variable-rate demand bonds on Monday, Oct., 2017.

Proceeds from the sales will be used to fund capital projects, with the exception of proceeds from approximately $310 million of the tax-exempt fixed-rate bonds, which will be used to convert certain outstanding variable-rate demand bonds into fixed-rate bonds.

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