London Stock Exchange welcomes The University of Oxford to celebrate the inaugural 100 year bond
Oxford University was today welcomed to London Stock Exchange to celebrate a highly successful first bond issue, opening a major new chapter in its history.
The precise date of the University's first chapter remains uncertain. There is no clear date of foundation but teaching has existed in some form at Oxford since 1096.
Since then, the University has established itself as one of the world's outstanding centres for learning, teaching, research and innovation. Oxford graduates and academics have between them won 52 Nobel Prizes, covering every category and reflecting its strength across the humanities, social sciences, the physical and life sciences and medicine. The University now generates some £7.1billion for the world economy every year, with some 150 new companies created from its research. Oxford was ranked first in the Times Higher World University Rankings for 2016 and again in 2018.
Oxford has continually reinforced its global leadership through investment in the most modern academic equipment, buildings and IT. In just the last five years the University has put £0.75 billion towards significant capital projects, including:
- The Department of Physics' Beecroft Building, now being fitted out with contemporary laboratories and theoretical working space
- The Blavatnik School of Government which is developing the next generation of world leaders
- The Big Data Institute which analyses large datasets that can transform outcomes in population health, genomics and infectious disease surveillance
Oxford now expects to invest more than £1.5 billion in new projects with the same scale and impact over the next 10 – 15 years. December's issue of the University's first-ever bond gives it the confidence and freedom to create this strong, consistent stream of major developments.
The University was advised on the issue by J.P. Morgan Securities plc as Lead Manager and Linklaters LLP as its legal counsel. Following an Aaa credit rating from Moody's, the issue raised £750 million with a 100-year maturity and a 2.54 per cent annual interest rate.
The Vice-Chancellor of Oxford University, Professor Louise Richardson commented:
"The rating we have received and the scale and duration of the bond that has been issued is a gratifying testament to the belief of the outside world in the extraordinary institution that has been developed over the centuries by our predecessors, as well as in the calibre of the research and education taking place here today. It is our responsibility to ensure that we use the opportunities accorded us by this bond to pass on to our successors an even stronger university."