# Cambridge University issues first bond to generate income

- Link: https://fundraising.co.uk/2012/10/23/cambridge-university-issues-first-bond-generate-income/
- Published: 2012-10-23T08:00:12+01:00
- Author: Howard Lake

The University of Cambridge has issued its first bonds, offering another source 
of income to the institution. The £350 million worth of bonds were released at a
rate of 3.75% and are due in 2052.

 

The University aims to “use the net proceeds from the bond for general corporate
purposes, including investment in research facilities, accommodation and other university
assets”.

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US universities including Harvard and Princeton already issue bonds on the capital
markets, but Cambridge is only the second UK higher education institution to do 
so, following De Montford.

 

The bond was substantially over-subscribed. The University had received £1.5 billion
of orders from investors for the £350 million available.

 

www.cam.ac.uk

 

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